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Yes the switch could be bad but the engine ciould also be low on oil or the oil pump could be going bad. The plan would be to check and top up the oil if necessary. If it still does it then have a mechanical oil pressure guage put in and get an acutual reading. This will tell you if it's the switch or the oil pump.
It simply means that its time for routing service and maintenance on your car. This will normally be reset when you take it in for an oil change.
1. Ford has issued a Special Service Message (SSM), stating that the owner's manual procedure is incorrect, and giving a revised procedure. The following is the text of the SSM:
18562 2005 FREESTYLE/FIVE HUNDRED/MONTEGO - OIL LIFE RESET PROCEDURE THE 2005 FREESTYLE, FIVE HUNDRED, AND MONTEGO VEHICLE OWNER'S GUIDE OIL LIFE RESET PROCEDURE IS INCORRECT. TO RESET OIL LIFE ON VEHICLES WITHOUT MESSAGE CENTER, USE THE TRIP/RESET BUTTON TO TOGGLE THE ODOMETER DISPLAY TO 'OIL LIFE XX%'. THEN PRESS AND HOLD THE BUTTON FOR 10 SECONDS TO RESET TO 100%. THE INSTRUMENT CLUSTER WILL BEEP WHEN THE OIL LIFE IS RESET. FOR VEHICLES WITH A MESSAGE CENTER, PRESS 'SETUP' TO DISPLAY 'PRESS RESET FOR SYS CHECK'. PRESS AND RELEASE 'RESET' TO START SYSTEM CHECK. WHILE 'OIL LIFE XX%' IS DISPLAYED, PRESS AND HOLD 'RESET' UNTIL 'IF NEW OIL HOLD RESET' IS DISPLAYED, THEN RELEASE. PRESS AND HOLD 'RESET' AGAIN UNTIL 'OIL LIFE SET TO 100%' IS DISPLAYED. THE INSTRUMENT CLUSTER WILL BEEP WHEN THE OIL LIFE IS RESET. EFFECTIVE DATE: 04/20/2005
The high pressure filter and fluid are supposed to be changed at 60k intervals. Ford has a very specific oil for this transmission and the service fee will be $300 to $450 - mine was around $420.
No other car place will touch the CVS transmission in a Ford Freestyle and most Ford dealerships are clueless on thier maintenance and repairs. On most issues that crop up the first thing they want to do is swap it out - for $4000+.
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