It sounds like the transmission has broken something internally. It could be that the clutch assembly is smashed, or the input or output shafts have snapped. It could even be the actual gearsets that have failed, leaving you with no mechanical connection between the engine and the gearbox.

Either way, it sounds like it needs a new clutch and/or gearbox which may be more than the market value of the car. That said, wrecking yards are full of Hyundai Getzes, so a second-hand, tested transmission might save the day.

The trade-in value for the 2004 Getz is $2700 to $6000 depending on the model, so the value you have been quoted is well down on what you could expect. Ask the dealer to show you the hail damage, in other words have him justify his valuation, or better still shop around at other dealers.

IF YOU are unhappy with the car take it back to the place of purchase. You have no claim against the dealer who sold the car in the first place, the deal you have done is with the person you bought the car from. If you have no satisfaction there you could claim it wasn't fit for the purpose for which it was sold and pursue some form of compensation.