Volkswagen Hannover Pricing and Specs

These old, air-cooled Volkswagens have a huge reputation for reliability and durability. And, back in the 1950s and '60s when they were most popular, they definitely were more reliable than a lot of their competition.

However, these days, even a relatively late-model Beetle such as a 1976 could be an absolute minefield of problems, starting with rust and a driveline with worn out mechanical bits and pieces. You haven't said how many kilometres the car has covered, but I'm betting it's plenty and that really plays against something like this car. You could wind up having to rebuild a large percentage of the car just to get it roadworthy, at which point, you could have bought something newer, faster and more comfortable.

In fact, that's another issue with old designs like the Beetle's; there's virtually no safety equipment beyond seat-belts. This is why cars like this have a place, but that place is as a weekend toy where you can relive your youth in small chunks on a Saturday morning before the shopping traffic has hit the road.

The seven-speed DSG transmission in your car is a known trouble-spot and has caused lots of grief for owners over the years. Failures can occur in the clutch-packs, the electronic control units or the gearsets themselves and, once the failure has occurred, it's usually time for a whole new transmission.

Mechanics can often become a bit jaded when they see multiple failures of the same component, but in this case, they're probably right. Your problem then becomes one of the cost of repairs being more than the repaired car is worth.

You could well be on the right track here. Many cars with transmission coolers place them in the car's radiator so that the liquid that cools the engine, also cools the transmission. But if the transmission cooler fails, that can allow transmission fluid into the car's coolant system which might account for the oil you're seeing in your coolant bottle. Many mis-diagnose this as a blown head gasket because the outward symptoms are very similar.

If this is the case, the bad news is that coolant has probably also entered the transmission potentially wrecking the mechanical parts and frying the electronic bits.