Two problems related to transmission failure have been reported for the 1996 Ford F-250. The most recently reported issues are listed below.
Consumer was pulling a 5th wheel camper for 5,0000 miles when transmission failed, due to burnt clutches. Dealer recommend when backing out camper consumer should use low range in 4 wheel drive.
Transmission failure. The 1-2 shift gets to be very mushy, problem could have been caused by heat buildup during towing due to a too small factory transmission cooler.