My 1995 S500 transmission slips when it shifts from 1st to 2nd and then engages. The car only has 38,000 miles and has never been abused. I took it to the MB dealer I bought the car from and the dealer said the clutches were slipping and needed to replaced and probably the torque converter also. Estimated cost $7,000 and 2 to 3 weeks to complete the job. Any ideas would be appreciated

I have a suggestion. Get a second estimate. I didn't pay that much for my 85 "S-class". Wow!

And you might want to consider an aftermarket warranty.

Search the web and read the plans. A $1500-$2000 investment might cover the next five years and up to 100,000 miles.

Of course preexisting conditions would not be covered.

These plans tend to include more than the plans provided by the dealer and they cover service at the independent shops.

Good luck.

If the transmission truly needs to be overhauled, consider purchasing a M-B factory rebuilt transmission - the factory rebuild price is a fraction of the price you've been quoted for overhauling and the warranty (2 years, 24K miles) will probably be better than the dealer offers for the overhaul.

Suggested list for 140-270-21-00-88 is only $1830.00 & that is from MB. Labor to install is 6.5-7 hrs @ local labor rate. Should be done in a day!!! SHAME on the person that quoted that price. Torque converter rarely needs replacing unless trans is completely burned & car won't move. Even if it is burnt the converter lists for $1310. Total is less than HALF of estimate. I would ask MBUSA for goodwill assistance! at that mileage.

MB Doc - Thanks for your advice. It was extremely helpful. I plan to contact MBUSA to discuss the issue, then find another dealer to do the work. Armed with your information, I feel I have been misled by the service department from the existing dealer.

Just to keep everyone abreast of the disposition. MBUSA has agreed to pickup half the cost of a MB rebuilt trans and torque converter. Estimated portion of my cost approx $3000. Thanks to the forum members for their help