When shopping for a final drive motor, you may come across "core charges" or "core exchange programs". In fact, there are many programs similar to this in the final drive market. This Shop Talk Blog Post will answer the most common questions our customers have about final drive cores, core exchanges, and core buyback programs.

What is a Final Drive Core?

Then you purchase a new or rebuild final drive, you have to remove the old one. The term core refers to the used final drive that you are replacing. If the housing, flange, and ports are still in good condition, then there’s a good chance the old final drive can be remanufactured. Even if they don't appear to be in good condition, snap a few pictures and send them to the experts. The core may still be salvageable!

What Can I Do With My Old Final Drive Core?

If your core can be remanufactured, that's great news for you! Getting a final drive remanufactured or rebuilt is often a cheaper alternative than purchasing a new drive motor.

However, if the core can't be rebuilt or if you choose to purchase a replacement final drive, you can exchange or sell your old core. How much you get for it, however, can sometimes depend on the condition of the core. If the housing is severely damaged, your core might be rejected by a lot of buyers. It would be extremely difficult and expensive to rebuild a final drive without a solid housing that is in good condition.  The price you may receive for your core may also depend on how much demand there is for that particular type of final drive.

What Is a Core Exchange?

A "core exchange" occurs when you send in your old final drive core and purchase another rebuilt / reman final drive for the same make and model of machine. Cores contain some parts that are in good condition, even if the final drive itself has failed. These parts are then used to remanufacture future final drive cores for other customers down the line, allowing the reman process to continue successfully. If you are replacing a final drive, it makes sense that you will have an old one that you can submit as a core exchange. A core exchange is required when you purchase most remanufactured final drives, and there will be a "core charge" tacked onto your invoice, fully refundable upon the company's receipt of your old core. 

What is a Core Charge?

A "core charge" is an extra amount that's added to your invoice that will be refunded once you send in your core. This allows companies to work on procuring or remanufacturing the final drive you need before your core arrives at their facilities.

Here is an example from our facility. Suppose you are purchasing a reman Bobcat T190 final drive motor. If you send in your own core for us to remanufacture, there is no core charge because we would receive your core before we start to work on it. If you want a remanufactured Bobcat T190 final drive as soon as possible, we would charge you a core charge on top of the price for a reman Bobcat T190 final drive. When you send in your old Bobcat T190 final drive core, you will receive a refund of that core charge. We might have already shipped your purchased motor by the time we receive your core. Core charges are involved when reman final drives for that make and model are very much in demand. Not only do you save money on the overall final cost, but the final drive dealer now has a core in stock to reman and replace the one you purchased.

What Is A Typical Core Charge Policy?

For most core charge policies, you can expect to see something along these lines:

• Core must match exactly the manufacturer, part number, and model you purchased.
• Core must be complete and assembled, including all parts (e.g., no disassembled core that is shipped in pieces or a core that has been scavenged for parts).
• Core must be returned within 30 days of original order shipment.

What Are the Typical Ranges for Core Charges?

Whether there is going to be a core charge depends on the level of demand for remanufactured final drives for that machine and the size of the final drive core. For example, there is a great demand for reman Bobcat T190 and reman Bobcat T300 final drives so you can expect to see core charges around $500-$1000 for these models if you buy a reman final drive.  However, for very large final drives that can be remanufactured, there can be core charges of $5,000 or more. Even if these numbers seem high, remember that you get the core charge back once the shop receives your core!

What Are Core Buyback Programs?

Core Buyback Programs, like the one we began this year, are opportunities for people to sell their core without having to make a purchase. If you purchased a replacement final drive and weren't asked to send in your core as part of a core exchange, there's not much reason to keep your old motor around. If you look around at final drive websites, you'll find a few companies offering to purchase your old core as part of a "core buyback program". This saves you the trouble of setting up an eBay seller account or something similar, and shipping is usually covered by the purchasing company.

Conclusion

When shopping for a remanufactured final drive, you will likely see references to cores. Hopefully, this post helps you navigate all the terminology associated with final drive cores. We've tried in include all the relevant information related to final drive cores, but if you have any further questions, please reach out to us and ask!

PS:  Don't forget to read up on our Core Buyback Program and our blog post on shipping a final drive core 

Texas Final Drive is your partner in providing new or remanufactured final drive hydraulic motors from a single mini-excavator to a fleet of heavy equipment. Call today so we can find the right final drive or hydraulic component for you, or check out our online store to find your O.E.M. manufacturer brand motor now.