In recession, many fix old autos instead of trading in

ByABC News
February 8, 2009, 9:09 PM

— -- More motorists are fixing their old cars instead of buying new ones, in hopes their jalopies will survive a long recession.

Auto dealers and garage owners say they are seeing drivers pay more attention to regular maintenance and be more willing to spring for costly major repairs now that they are reluctant to trade in their junkers. "People are hanging on to them right now, and they've got to keep them running," says Tim Smith of Bob Smith BMW/Mini in Calabasas, Calif.

Working to saving Old Bessie:

•Dealer servicing. Parts and service departments are expected to see a revenue gain of about 3% this year, forecasts Paul Taylor, chief economist for the National Automobile Dealers Association. That would be up from 1.8% for the first 11 months of 2008.

Dealers count on servicing to offset falling new car sales. Jason Brickl of Ballweg Chevrolet in Middleton, Wis., says his service department has seen a 17% sales gain the past 12 months.

•Repair shops. Some 60% of the independent mechanics responding to a survey by Automotive Service Association reported sales up last year over the previous year. Only 14% reported a decline. This year, 76% say they expect more work.

Shop owners say, "It's common these days to hear from motorists, 'I don't want to buy a new car right now so … should I spend the money and fix this one?' " says ASA spokeswoman Angie Wilson.

•Roadside assistance. Though AAA says roadside assistance calls have remained fairly steady at nearly 30 million a year, memberships, which usually include towing benefits, rose by about 500,000 last year to 51.3 million. "People are taking a little better care of their cars," says Michael Calkins, manager of AAA's approved auto repair shop program.

Motorists are hanging on to vehicles longer. The average age of the entire U.S. fleet of cars and trucks averaged a record 9.2 years in 2007 for the second year in a row, the most recent figure from research firm R.L. Polk. The 4.8% of vehicles scrapped was the lowest since 1996.