97 Cherokee Problems

I just bought at 97 Jeep Cherokee Sport 4.0L with 139,005 miles on it. As soon as I got it the oil pressure gauge has always read low and the check guages and check engine light were on all the time. At this same time the tranmission started leaking fluid. After driving it for a few days both lights go off and on at times and after putting tranny fliud in, it doesn't leak at much (a few drops). Two days ago I drove it about 50 miles to a neighboring town and it overheated. Now the engine is knocking and I have lost acceleration. Also my electric fan is not working anymore. I bought this car from a used dealer and it has a 30 day, 1000 mile warranty on it. What should I do, take the car back and get my money back or have them fix whatever the problem is. Better yet what is the problem. At first I thought it was the transmission slipping but now it is clearly an engine problem.

I just bought at 97 Jeep Cherokee Sport 4.0L with 139,005 miles on it. As soon as I got it the oil pressure gauge has always read low and the check guages and check engine light were on all the time. At this same time the tranmission started leaking fluid. After driving it for a few days both lights go off and on at times and after putting tranny fliud in, it doesn't leak at much (a few drops). Two days ago I drove it about 50 miles to a neighboring town and it overheated. Now the engine is knocking and I have lost acceleration. Also my electric fan is not working anymore. I bought this car from a used dealer and it has a 30 day, 1000 mile warranty on it. What should I do, take the car back and get my money back or have them fix whatever the problem is. Better yet what is the problem. At first I thought it was the transmission slipping but now it is clearly an engine problem.

It sounds like it has several problems. Definately take it back to the dealer if its got a warranty. At a minimum, mkae a written record of the problems with the dealer. It sounds to me like you picked up someone elses trouble. If you can, just get rid of it. Tell the dealer to either fix it or better yet, just give your money back and he wont have to pay to fix it. There are a ton of XJs out there. No since in starting out with a bad one.

1. I would take it back, depends on how much you paid.
2. I have a 97 4.0 L 4x4 and this is what I had done:
*new radiator for overheating*$500
*check engine light due to NSS*cleaned unit
*oil gage low and fluctuates*$20 for new sender

My tranny does not leak (auto).
Electric fan comes on with the AC or if engine is too hot.
Engine knock does not sound good, veryfy the problem, and see if the oil change was done recently.
Lost acceleration*might be spark plugs, wires or something else

Try and get a later model with less miles and maybe a little more cash.

Thank you all for your help. I got the Jeep at a Buy Here, Pay Here place. for $6k. I put down $1000. I just wrote them a letter asking for my money back. I agree no since in starting out with a bad one or someone else's trouble. This would have been the 4th Jeep I have owned. 2 Wranglers, and a Grand Cherokee.