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It's clear from looking on the internet (carsurvey.org/reviews/peugeot/307/r33972/comments) this is a common problem with the 307s. It's a shame Peugeot can't even acknowledge they messed up!

I have a 307 here on a 53 plate. It has the "catalytic converter fault" on the dash screen, and the engine management light is flashing on the dashboard. The car runs but is very jumpy.

Just have a few questions...

1) Is the car ok to drive like this?

2) What needs replacing/fixing? I've read fixes on the internet are everything from tappet replacement, coil pack replacement, to a £50 software update at Peugeot dealers! Anyone any ideas?
 

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the catalytic converter fault light is a dubious one to say the least but the flashing malfunction tends to mean a coil pack is arcing which would cause excess fuel to be stored in the charcoal canister so it would mean there is a lean mixture because one of the plugs has a misfire but you need to check it with a diagnostic scanner to narrow the problem down.
 

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Cat converter error

I have read many posts about engine misfires and catalytic converter error being displayed on the dash panel.

1. An engine misfire will cause unburnt fuel to enter the exhaust system, thus cause the sensors to read out of tolerance levels of pollution. Hence the warning message. Ignore this, if you have a misfire.

2. Confirm the misfire with a diagnostic tool, such as the MaxiScan 309, which can be bought on the web for less than Aust $50.

3. If multiple random misfires is confirmed as an error, then fix that problem.

4. Spark plugs can get fouled using poorer quality fuels and less than the 95RON as recommended. So off to peugeot Roget the correct plugs from a spare part supplier.

5. The Coil pack is also another cause for misfiring if it is not functioning 100%. I was quoted Aust $550 for the peugeot part and $460 for the Citroen part (what makes the difference?). I looked up eBay for this part and bought one of $130. It was delivered overnight.

6. Having sourced the coil pack and plugs (don't put in a new coil pack with old plugs), I then spent 30 minutes replacing the lot. Took the car for a test drive and all problems solved.

7. A Diesel engine may also have some problems if the addative level is low or empty so check this first before spending money on plugs and coil pack.

Hope this helps the rest of the members.
 
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