If you notice transmission fluid leaking under your car, it means the transmission system has developed a fault such as a worn seal, gasket, or damaged component. Transmission fluid is vital for lubrication, cooling, and smooth gear changes. A leak can quickly reduce fluid levels, leading to slipping gears, overheating, or even complete transmission failure if not addressed promptly.

What does it mean if transmission fluid is leaking?

A transmission fluid leak usually indicates a problem with seals, gaskets, or transmission lines. It may also be due to a damaged transmission pan or torque converter. The fluid is typically red or brown and may leave puddles under the vehicle.

Common causes of transmission fluid leaks

• Worn or damaged transmission pan gasket
• Leaking output shaft or input shaft seals
• Damaged transmission cooler lines
• Cracked transmission housing
• Torque converter seal failure
• Improperly fitted or damaged transmission pan

Why do you need to fix this problem quickly?

Low transmission fluid can cause the transmission to overheat, slip, or fail completely. Since transmission repairs are often costly, fixing leaks early prevents severe damage and high repair bills.

How do you know when to get it checked?

You should book an inspection if:

• You see red or brown fluid under your car
• You smell burning transmission fluid
• Your gears slip, hesitate, or shift harshly
• The transmission is overheating
• The transmission warning light comes on

What happens during an assessment?

A mechanic will:

1. Check fluid levels and condition
2. Inspect the transmission pan, seals, and cooler lines
3. Pressure test the transmission system if required
4. Identify the source of the leak
5. Advise on necessary repairs such as seal replacement, gasket replacement, or line repair

How much does it cost to fix?

Costs vary depending on the source of the leak. Minor gasket or seal replacements may cost $200–$600. More extensive repairs, such as torque converter or housing leaks, can range from $700–$1,800+.

Is it unsafe to drive with transmission fluid leaking?

Yes. Driving with low or leaking transmission fluid risks severe transmission damage and sudden breakdown. The vehicle should be inspected and repaired as soon as possible.