Hi there.
I had this very same problem with my 2003 Taurus at about 75,000 miles almost a year ago.
The problem is the Torque Converter needs
replacement.
The converter has a gear wheel type drive that works within the transmission and this gear wheel wears down to no teeth left on it, making the transmission unoperable.
I think this should be a recall problem with Ford as I found researching on the internet at the time that other people have had the same problem.
A car that new in my opinion should not break down like that.
I had a long talk with a Ford Service Advisor about the repair and he told me the problem is they put out contracts for parts to the lowest bidder and felt that it may be a problem with the manufacturer of these parts.
I then said to him that they probably use an inferior quality of metal or alloy for this torque converter in that case and it wears out faster than a better made part with a higher quality metal.
He would not come out and agree with me on that. He just had a look on his face that told me I was probably right.
This repair is quite costly also. It cost me $1,600 to have fixed.
Just hope that the filings from the worn Torque Converter do not damage your transmission at all.
I was lucky that it did not damage the transmission or, it could have been another $2,000 for a complete rebuild of transmission, plus the torque converter on top of that.
Hope that helps you out and good luck.
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Saturday, December 15th, 2007 AT 2:23 PM