Hello brickboarders...
I have a 98 V70 N/A. for the past year or so, the ignition switch has been acting up. When you first start the car [sometimes] the car starts but the headlights, chime, etc. do not come on and the car will not shift out of park without using the manual override. I have passed the car along to my son now and would like to replace the offending part but for those that have done this is it usually the electrical part of the switch or the mechanical part that causes this.

Thanks

ok. finally got a round to doing this last night. Wow it was easy. took about 15 minutes including disconnecting and reconnecting the battery and re-entering the radio security code.

If all the other jobs were so easy :-). thanks everyone for your input.

Ok, bummer.
I went out to drive the v70 and when I turned the key, it started but the chime did not come on, the headlights did not come on and it would not shift out of P. Jiggled the key around and all functions returned. The electrical part of the ignition switch was new OEM Volvo and installed and tightened as should be. Problem still remains. Any suggestions.

Second war Klaus said, the electrical part of the switch goes bad and will cause all kind of things to go haywire.such as headlights not working, shifter interlock, speedometer not working and various lights on the dash. Cheap simple fix.

It is always the electrical part. As a test, when the lights, etc. don't work, move the key a fraction and if the electrics come on, get your T25 out and replace the switch.
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Keeping it running is better than buying new

Great. thanks both of you guys. I ordered an oem electrical portion. I'll let you know how I get on in a few days