Which parts fail
Components named in complaints (engine, cooling system, oil leaks, timing chain, exhaust).
Mileage when the problem started
Owner reports
Selected complaints filed with NHTSA by 1996 Plymouth Neon owners, lightly cleaned up (personal details are redacted by NHTSA).
The car was run for 45mins at 10mph following a tractor. The last 2 miles were at 55mph. A few minutes after the vehicle was home and the engine turned off, the engine compartment caught on fire. All wiring and plastic components are a complete loss, hood is damaged, and all light units are ruined.
Transmission was replaced at about 35,000 miles under warranty, new transmission is beginning to slip. Headgasket has failed twice causing internal damage that the dealership won't admit to. Engine block or other part is cracked, leaking oil into cylinders 1 and 3, problem wasn't corrected last time in shop. Brakes fail regularly, especially under quick stopping attempts, even though the pads/shoes are still good. There is a gas leak that allows fumes to enter the car. EGR valve is broken and won't be fixed under warranty even though it's part of the engine. Paint is chipping on the bottom half of the car and the panels are now rusting. Car stalls in reverse. Car idles roughly even after tune-ups. Heat/ac knobs are cracked due to improper drilling.
Since 1999 this car has been leaking oil. Replaced cam seal and head gasket once under warranty. 1 month later (when warranty ran out) had to be replaced again at a cost of 500.00. 6 months later started leaking again. Took to a mechanic who said this is common for this type of vehicle. Replaced cam seal and head gasket again. 1 month later same thing. Said Chrysler had a new and "improved" seal. Guess what we are taking the car to the dealer again tomorrow. This will be the 6th time. I have probably spent on repairs the same amount I spent for the car. Chrysler won't do a thing for the consumers. If there is a lawsuit I would like to know about it. Can you please help?
Head gasket on 1996 Neon failed causing car to stop in a busy intersection. Luckily, no injuries resulted from this failure. Despite widespread reports of frequently failing head gaskets in 1995-97 Plymouth and Dodge neons with low mileage, Chrysler refuses to officially acknowledge the problem and rarely offers to fix the problem.
3 head gaskets failured in 6 years resulting in engine stalling on the side of the road. Failures were at 30K, 45K, and 70K miles respectively. Most recent failure occurred on 01/29/02. Dealer is unable to determine cause of failures. Ts
Oil leaks, dashboard failure, noise in brakes, wind noise in passengers door. Have replaced valve cover gasket twice, replaced oil sendind unit,cam sensor was replaced now I have a big oil leak, car only has 45000 miles on it.
Oil leak discovered December 1998 (45838 miles on car.) diagnosed engine head gasket by dealer service. Worked deal with Chrysler since per investigation this appeared to be a common problem. They fixed for 1/2 warranty cost ($180 paid by me.) February 1999 (47364 miles on car) the leak reoccurred. Dealership replaced at no charge. December 2001 (93648 miles on car) oil leak checked by third party service organization and diagnosed the head gasket leak again (approximate cost to fix $1,400) there is an obvious design/engineering flaw in the engine/head gasket. There should have been a recall and fix to this problem. I have never had to replace even one head gasket on any vehicle I have ever owned and this one has now had the original and two replacements and now needs a third replacement prior to 100,000 miles on the car. …
I have a 1996 Neon which I purchased used in August of 2001 with only 35,000 miles on it. About 3 months ago I took it in for my monthly oil change/lube and was told that my head gasket was cracked and that I would need to get it replaced. They told me it would be a $1200 repair. I began to call around and each place, when I mentioned the problem and the year/make/model of my car, told me that they could have guessed what the repair was that I needed just by me giving them the type of car I drive. I've called 5 places now to get a quote on this repair and prices range anywhere between $700 - $1200, depending on the shop I use. By the way - I lose about a quart of oil per week. I wanted to do a little research to see how common of a problem this is, so I went on the internet and found so many complaints that it blew my mind! …
I have had to twice replace the head gasket due to it failing, causing a major oil leak. Both times parts have been almost impossible to obtain. When checking with Chrysler dealers in a 5-state area, all of acknowledged a multiplicity of occurences of this nature. One dealer at one time had 5 different neons in his garage at the same time for the same problem. I have had service technicians with Chrysler dealers acknowledge that there does seem to be a defect with the original, but Chrysler has refused to look into it. The car was only 18 months old at the time of the first failure, although it did have 45, 000 miles on it. Chrysler did not offer any assitance, even though I was told by numerous mechanices, that this problem should not be happening at that few of miles. I feel that this problem should be looked into. …
When accelerating the car pulls to the left, when decelerating vehicle pulls to the right. Steering wheel replaced, it was vibrating due to being out of alignment, rack and pinion and steering rack were also replaced. Excessive shaking while driving, dealer replaced tires, and balanced and rotated tires, however shake still present, dealer stated vehicle had torque pull and could not be aligned, also had bad strut, vehicle continues to pull to the left and right and shakes. Consumer noticed oil around the bolts on the valve cover at only 265 miles, dealer can not find any leaks, front motor mount had a lot of play and was replaced, oil is very dark in color, poor power. Cv joints bad. Dealer lubed and adjusted front windows, they were hard to open and close. Windshield wiper blades failed. Wrong air cleaner vent was installed on vehicle. Emergency brake was stuck on. …
Engine complaints in other Neon years
Frequently asked questions
How common are engine problems on the 1996 Plymouth Neon?
NHTSA has 167 complaints about the engine & cooling of the 1996 Plymouth Neon, 54% of the model year's 308 complaints. The component named most often is engine (119 mentions).
Is there a recall for 1996 Plymouth Neon engine problems?
No. NHTSA lists no engine & cooling recall for the 1996 Plymouth Neon, though it has 2 recalls for other components. If the problem is widespread, a repair may still be covered by an extended warranty or a manufacturer service bulletin — ask a dealer.
At what mileage do 1996 Plymouth Neon engine problems start?
Half of the complaints with a recorded mileage happened before about 70,000 miles.
Is it dangerous?
Owners linked 3 crashes, 3 fires and 6 injuries to engine & cooling problems on this model year. If you notice symptoms, have the car checked before driving further.
Source: U.S. National Highway Traffic Safety Administration (NHTSA) — owner complaints through October 20, 2026, recalls and defect investigations; fuel economy from the EPA. Complaints are unverified reports and are not proof of a defect. How we rate model years.