My speed ometer stopped working. I traced the cable from the dash to the transfer case and the speed sensor was loose. I was able to remove it by hand. it turns out thatthe threads were striped and I am not sure what I am getting into when I remove the retainer clip that holds the bolt like peice that I believe holds the gear in the transfer case. can I simply remove the retainer clip and replace the gear? If so my thought was to remove it and use lock tight and catch some threads when re mounting the sensor. Will this work?

vss has probably gone bad. vehicle speed sensor ( vss)

Could be the speed sensor in the transaxle.

IF SPEEDODMETER BY ITSELF NOT WORKING THE VECHICLE SPEED SENSOR FAULTY.CHECK VECHICLE SPEED SENSOR MAKE SURE ELECTRICAL CONECTOR NOT LOOSE OR DISCONNECTED. IF YOUR INSTRUMENT GAUGES LIGHT NOT WORKING LOOK FOR BLOWED FUSE.

The vehicle speed sensor(VSS)is located on left rear of transfer case on 4x4( 4wd) 1993 jimmy.Ensure ignition is off.Raise and support vehicle .Disconnect VSS electrical connector.Place a container under VSS mounting area, to catch transmission fluid when VSS is removed.---- On 4wd the VSS is threaded,un-thread VSS from transfer case.Then remove VSS and O-ring.Installation in reverse.--------- This will help.Thanks.Helpmech.

SPEED SENSOR WILL CAUSE THIS BEHAVIOR

Look around the auto transmission for wires that lead to the VSS (Vehicle Speed Sensor):

1. Remove the flywheel to converter attaching nuts. Use a socket and breaker bar on the crankshaft pulley attaching bolt. Rotate the pulley clockwise as viewed from the front to gain access to each of the nuts.
2. NOTE: On belt driven overhead cam engines, never rotate the pulley in a counterclockwise direction as viewed from the front. Remove the Vehicle Speed Sensor (VSS) clamp retaining bolt . . .

1. 

1. . . . then pull the VSS sensor from the transfer case (4WD) or extension housing (2WD)

1. 

1. Remove the speedometer cable and/or vehicle speed sensor from the transfer case (4WD) or extension housing (2WD).
2. On 2WD vehicles, scribe a mark indexing the driveshaft to the rear axle flange. Remove the driveshaft.

1. On 4WD vehicles, remove the transfer case.

1. Fig. 3: Speedometer cable connection
2. 

Easy one. You need a new speedometer cable. The cable inside the outer sheath is sticking and binding. Don't bother lubing it on a '86, that'll only help a month or so. You may also need a new nylon drive gear inside the transmission housing (needle nose pliers will pull it out when you remove the speedometer drive cable from the tranny.) You may be looking at $40. Probably less. You'll get to stand on your head to disconnect and reconnect it to the dash. Buy one of those LED "headlights" for working on the dash. Your knuckles, arms and hand skin will appreachiate it! And you won't have to try to hold a flashlight in your mouth while working!
It's very unlikely that the "clock spring" inside the speedometer is bad these days. It did happen in the 60's, but I haven't seen one since.

Bad speed sensor, or associated cable. Trip odo not working also?

This is a sensor setup. The sensor is mounted inside the transfer case (if its a 4X4). If it 2 wheel drive, than its at the back of the trans by the outputshaft. Its a 2 wire sensor in both cases. Easy to remove. Take out holding screw and remove sensor. But you probably need a new speedo head. Have seen some break and have replaced few. More than speed sensor it self. Good luck.

speed sensor for accord,there is no cable