Money Moral Dilemma: Should I abandon my local garage for a cheaper MOT?

Former_MSE_Nick

This week's MoneySaver who wants advice asks...

I've been getting my car serviced and MOT'd at the same local garage for the last seven years. Last year they kindly welded a snapped exhaust for free instead of charging me the £200 to get it replaced. 10 months down the line and I get a voucher from a big online car parts firm for an MOT at half the price my local charges - should I stick with my faithful local and just swallow the extra cost?

Unfortunately the MSE team can't always answer money moral dilemma questions as contributions are often emailed in or suggested in person. They are intended to be enjoyed as a point of debate and discussed at face value.

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Norman-B

Stick with the garage that did you a kindness last year.

rich13348

Norman-B wrote: »

Stick with the garage that did you a kindness last year.

Agree with Norman

no1catman

The MOT maybe cheaper - but it doesn't mean the final bill will be, they'll be looking for add-on business.

Joe_Horner

Stick with the local place that knows you well enough to help you out.

The big chains do half-price MOTs for one reason only - to get you through their doors. Bear in mind that the economics work out something like this:

Max cost of MOT: £54.85
Cost of MOT "slot" paid to DVSA by the garage: £2.05 (only paid for a pass)

That gives the garage £52.80 for an average 45 minutes for two people (tester + assistant). Out of that they also have to cover the maintenance, repair, and calibration etc of the MOT kit and any free re-tests. So that 45 minutes easily becomes an hour average "per pass".

Cut the fee in half, as some of the chains do, and you end up with economics that simply don't work - a £30 test leaves £27.95 to cover two staff members + the kit + rent, light etc, for an hour.

If you're paying your staff the national minimum wage (you WILL be paying more for qualified testers) that's £14.40 of it straight away, plus 86p in employers nat ins, leaving £12.72 to cover all equipment, heating, lighting, maintenance, insurance and company profit.

That really isn't a business model that works, let alone lets you grow to be a national chain. So they make their money on the extras.

The local place, on the other hand, charges a fair and honest price for the job and gives the extras away to valued customers.

Hintza

No such thing as a free lunch.

Joe_Horner

Hintza wrote: »

No such thing as a free lunch.

Funny thing that, we tried to give a free lunch away last month. Genuinely - main course, sweet and drink of your choice at a local cafe and all you had to do was pop into the shop and ask for it. Not one taker!

takman

Joe_Horner wrote: »

Stick with the local place that knows you well enough to help you out.

The big chains do half-price MOTs for one reason only - to get you through their doors. Bear in mind that the economics work out something like this:

Max cost of MOT: £54.85
Cost of MOT "slot" paid to DVSA by the garage: £2.05 (only paid for a pass)

That gives the garage £52.80 for an average 45 minutes for two people (tester + assistant). Out of that they also have to cover the maintenance, repair, and calibration etc of the MOT kit and any free re-tests. So that 45 minutes easily becomes an hour average "per pass".

Cut the fee in half, as some of the chains do, and you end up with economics that simply don't work - a £30 test leaves £27.95 to cover two staff members + the kit + rent, light etc, for an hour.

If you're paying your staff the national minimum wage (you WILL be paying more for qualified testers) that's £14.40 of it straight away, plus 86p in employers nat ins, leaving £12.72 to cover all equipment, heating, lighting, maintenance, insurance and company profit.

That really isn't a business model that works, let alone lets you grow to be a national chain. So they make their money on the extras.

The local place, on the other hand, charges a fair and honest price for the job and gives the extras away to valued customers.

In my experience MOT tests don't have two people doing them, in all the ones I have watched they have done it alone. But I still agree with your conclusions.

Personally I would never get a cut price MOT due to them being more likely to be stricter so they can get the extra business. Where I take my cars for MOT it costs £50 and he's a sole trader that only does MOT's. It may not be the cheapest you can get but I've never known any MOT tester to be as fair as him. He carries it out to the letter and as MOT standard are quite slack it mean my cars are more likely to pass.

Joe_Horner

Unless they have one man testing lanes an assitant is needed for some parts of the test. Depending on other workload he may or may not be doing other stuff during the parts he's not needed for, but he still needs to be there so needs to be budgeted for.

Besides, at the NMW I was paying them so little that neither turned up anyway cos they'd gone to flip burgers for better pay

ouraggie

I go to our local council. Costs £45 and as they don't do repairs, only the test, it's not in their interests to invent unnecessary faults etc.

scotsbob

Your experience with the exhaust should tell you that you are already going to a decent garage. Personally I wouldn't switch.