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If you haven't solved the water problem, solve it first, THEN get the trans replaced. Water is coming from somewhere--the radiator. if it is defective, replace it. Unless you already did.
As far as the used transmission goes, the mechanic probably doesn't remember or doesn't want to remember the mileage. But that isn't necessarily a big problem. The AW70 units used in cars like yours, are not your garden variety used transmission. Generally they are very reliable, last for a very long time, and the best part is, they cost a fraction of a rebuild, which is often even a bigger gamble. IF you had to replace the transmission in another year or two, you would STILL be ahead of getting a rebuilt one. In fact you should still be hundreds of dollars ahead after two transmissions, vs. a rebuilt unit. This is just food for thought. The engine/trans combination might have come out of a wreck or something, in which case you know that they probably worked fine until the day the car was wrecked. That's about it. Otherwise you'll never know the history.
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Chris Herbst, near Chicago.
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