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Problem is with the VATS system most likely. Can stem from changing the key you use after a long period with one to another, or failing computer. Take to a great mechanic, not a good one. Ask about measuring the resistance across that little chip in your key. You'll get 2000 dumb looks before somebody doesn't flinch and knows EXACTLY what you are talking about-that's your man. Max repair about 550.00, could be a problem with the wires leading to the vats reader in the ignition lock cylinder which should be around 300.00 to 350.00 completed. Good luck. I run a shop in Columbus Ohio if you're nearby contact me at smokinhydes1@Yahoo.com == Answer == I just repaired mine and it was a VATS problem as well. It needed the entire tumbler assembly but I went ahead and jumpered across the system and "faked" it into thinking my key was working. I just took a ohm reading on my key and purchased a reisister of the same value. Under the base of the steering column are two wires coming from the tumbler. I connected the resistor in series with these two wires (coming from under the dash-not to the tumbler) and my problem was fixed. I was having this exact problem, i sprayed wd 40 into the key hole and worked the key in and out several times, i have not had the problem again and it has been over three months now. i think this cured the problem.

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