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My 2008 Hyundai broke down in Calif. I was on vacation from Utah and half way there I heard a knocking sound from my engine.
so I stopped in Baker to have it looked at . The engine light never went on and my oil pressure was good. The mechanic added 1 pint of oil and said I would be fine to drive to Corona. In Corona I saw a mechanic who said I had a broken motor mount so I drove to the Cardinaleway Hyundai dealer. I explained that I was there alone on vacation from out of state to see my daughter. I was told they could not even look at my car until they received permission from warranty dept, said it would take 24 hours this was a Saturday morning. The following Monday afternoon I called the dealership and was informed they got permission to drop the oil pan and would call me back the next day and let me know. It took till Wednesday and I had to go down there and talk to the general manager, after I explained I was on vacation from out of state and needed to get back to work, he said he would find something out for me, so while waiting to hear, the general manager proceeded to ask me if I owed money on the car or was it paid off, As soon as I told him it was paid off, he started with the lets just trade your car in and I will give you a great deal on a new car. After I let them know I was not buying a car, within the hour they told me my warranty was denied for metal shavings in the oil pan. then later told me warranty denied me because of sludge in the oil pan I ask them what was wrong with my car they said, they couldn't tell me, tjey didn't know, The didn't even code my car. Then they hit me with the hard sale for $5,455 the could put an engine with 99,000 miles on it in my car and it would be done in 1 day and I could be on my way home. Funny how they can automatically want to replace my engine but they don't know what is wrong with my car, or just wont tell me, I fill like the wouldn't even do the electronic annalist because it would prove I am not at fault , my car has only 49,000 miles on it. NOTHING LIKE TAKING ADVANTAGE OF A WOMAN OVER 50 YEARS OLD ALONE AND OUT OF STATE Hyundai Service and Warranty not good or the dealership's Horrible service and I felt I was being taken advantage of. it has been 10 days and I still don't have my car. they wouldn't even give me a loaner car to drive Killed my Vacation.....I was stuck in Corona in a hotel all this time
 

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The question probably on everyone's mind is did you maintain the car properly? Did you follow the scheduled maintenance book? Sludge and shavings in the pan sound like a neglected engine. Personally I'd contact Hyundai corporate and see what they have to say plus I'd find another dealership or mechanic to take a look at it.
 

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+1 on contacting Hyundai and getting a second opinion.

I can't speak to the sludge, but couldn't metal shavings be caused by neglect OR defective components?
 

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+1 on contacting Hyundai and getting a second opinion.
I would have contacted the States Attorney's office in the town where the car is.....LONG ago.

This borders on theft.

Of course, the question of proper maintenance comes into play and that's why I always have my service receipts in the glove box.

IF the engine really is shot (likely) AND the owner is on shaky ground with the routine maintenance.......it might be best to just take the sales offer and get on with your life.
 

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NOTE - since none of us are there, we're all just guessing. But I'll toss in a little info that may be relevant.

The metal shavings are most likely from the engine failing, not the cause of the engine failing.

While it's not super common, I have read a decent number of complaints of knocks caused by spun bearings on this forum. For whatever reason, it seems when these engines fail that's how they do it. I'm just guessing, but it sounds like that's your issue.

In theory that could be caused by poor maintenance, I suppose, but it could also just be a fluke or whatever design flaw causes this to happen on these cars. If you can't prove your maintenance schedule then they could try to get out of providing the warranty.

I'm also not there to judge the dealer's response, but from reading your post it sounds like they know they've got you between a rock and a hard place and they're trying to get you to buy a new car or engine by getting crafty on the warranty.

I agree your next move should probably calling Hyundai and explaining the situation.
 
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