B.C. Toyota owner faces $13,586 bill after Highlander transmission fails

Dona Wilkie drove her 2021 Toyota Highlander to Calgary this August to drop her son off at university. She says the vehicle shifted aggressively during the trip and made a humming noise when she pressed the accelerator; the sound grew louder as she drove. After returning home, she contacted her Toyota dealership and learned that the brand-new vehicle she had bought needed a replacement transmission.

The dealership told Wilkie the vehicle was 600 kilometres beyond its 100,000-kilometre powertrain warranty, leaving her to pay for the replacement. Wilkie says an oil-change receipt showed 98,278 kilometres before she left for Calgary, and the whining and harsh shifting began at about 98,500 kilometres. She received a bill for $13,586.88 for the transmission replacement. She told Global News’ Consumer Matters she could not afford it.

Wilkie says her dealership contacted Toyota Canada to ask whether she qualified for a goodwill request to cover the cost. The automaker initially declined, citing no service history at a Toyota dealership and no previous transmission-fluid service records. Wilkie said she had maintained the vehicle diligently and kept all her independent service records.

The non-profit Automobile Protection Association (APA) says there is no link between Wilkie not getting oil changes at a Toyota dealership and the transmission failure. APA director George Iny called that rationale laughable, saying engine oil changes cannot be connected to a transmission failure involving a known problem. He said dozens of these transmissions have failed in Canada and added that automakers use such explanations to brush off customers.

In February 2021, Toyota Canada issued a technical service bulletin for some 2021 Highlander, Camry and Avalon vehicles equipped with UA80E or UA80F transmissions, which may develop a loud whining or grinding noise. Iny said the APA has received more than 60 complaints about failures of the eight-speed transmission, primarily affecting the Highlander. The association is preparing a letter to Toyota Canada seeking an extended warranty. Iny said the APA would like to see extended, even lifetime, coverage for a transmission of this nature.

Consumer Matters contacted Toyota Canada about Wilkie’s case. She says the automaker called her the following day and told her it would cover the transmission replacement. Toyota Canada said the customer’s request for an out-of-warranty repair exception was already under review when the program contacted the company and that, given the specifics of her situation, it had decided to cover the repair costs. Global BC also asked why Wilkie’s goodwill request had been denied despite her proof of service records, but received no response.

Wilkie said she had made little progress with Toyota Canada before Consumer Matters became involved. She waited weeks for a response and filed a small claims notice. She said the automaker did not contact her until after Consumer Matters reached out. Wilkie has since received a loaner vehicle and expects the transmission to be replaced by the end of the week.