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Just got the truck, has 200,000 miles, always been serviced, ran fine for 2 days...pressed the button, dives in 3rd, and o/d light's blinking....have no clue...it drives great @ 25mph.....suggestions?
Blinking O/D light could be anything from a faulty $25 VSS sensor to a complete tranny failure. Might want to get your truck scanned for codes and see what pops up.
Don't go to the auto parts store. Their scanners cannot read Ford Diesel codes. Technically, our trucks are not OBD-II compliant, so the code readers cannot pick up on non-OBDII codes.
As far as the high rpms, since 4th gear is locked out, then you should be at higher revs at speeds over 40 mph. Normally the tranny will shift into 4th at around 40 mph or so. With the button on the stick pushed to turn off O/D, the tranny won't shift to 4th unless you press the button again.
It doesn't make a difference if the button is pushed to come on or off, the thing won't go into 3rd while in drive. This is going to be expensive, isn't it? Can I buy one of the code readers, or will they not work either?
Blinking O/D light could be anything from a faulty $25 VSS sensor
I would start here before getting too worried. I know the thought of a bunch of cash always sucks. But, the most common culprit for what you are describing is what Pocket said.