There is some fuel leaking from the hose located next to the fuel tank
on my Volvo 740 GLT -88b. I don't think it is a hole in the tank but
have not been able to take a closer look.

When I called the local Volvo-dealer I was told that the whole armature
in the tank had to be replaced and the cost for that and the work would
be about 4000 sek (~500$) .

Do you think there is some cheaper way to fix this, I wont spend that
kind of money on this old car?

nikos wrote:
A fitting is probably loose.

Inspect the hoses and connections, and tighten it if that is the case.

It could be a worn hose.

Doubt it is what the dealer said (rip off).