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Transmission Failure V70-XC70 1998

My wife's '98 Cross Country with 62,000 miles started hesitating last week and just broke down 300 miles from home. According to the diagnostics, there is something wrong with the transmission. She is being told that they have to replace the transmission and the job will cost $3500-$4500.

Is this normal? Will Volvo provide any help? There is no reason a transmission should fail at this age and mileage. Should I take it to the dealer or have a well repsected independant shop rebuild it?






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