If the range selector lever, on the transmission is secure and has no rotational play, try adjusting the shift cable. I don't see any mention of what engine you have, so I will just assume it is either a 2.9 or a 3.7. The shift cable for the 5.3 has a different adjustment procedure. If you have the 5.3 engine, let us know.

With the shift selector in the 'Park' position, pry the end of the shift cable off from the lever ball. Make sure the lever is also in the 'Park' position. Near the end of the cable, on the end of the flat part, there is a locking tab that you need to move aft. That will release another locking tab that you need to pull out on to release the adjustment. The end of the cable should then have some movement. Hold the lever is fully in the 'Park' position, push the cable back onto the ball of the lever. While still holding the lever in the 'Park' position, push the locking tab in and slide the secondary lock tab forward. That completes the adjustment.

If that doesn't help, there may be an issue with the switch itself.

 

Thank you SO MUCH for the walk-through on that. I have been looking for that adjustment information everywhere, you are a life saver. I just went out and tried it, it worked like a charm. Thank you!

 

Thanks for returning and leaving an update. It will help someone else that might be having the same issue.

 

im having a similar issue. I've got my hands on an 2007 Colorado 4x4 3.7l LT I'm currently finishing up putting a new transmission in it. So far everything has bolted in fine the only issues I've had is with the upper cooler line, that was a stickler. It was odd because the lower one popped right in. But with some time i ended up getting that upper line in. The question I have is about the shift linkage. I switched everything over from the old to the new tyranny...and for some reason my shift cable extends about an inch too far from where it should pop right in. I don't have any play to muscle it down, and i wouldnt want to. I can't find anything online about any adjustment (besides the top of yhe cable thats afjusted all the way foen already) . I would appreciate any help! Part of me is nervous I got the wrong tyranny from O'Reilly. Just because the shifter linkage and cooler lines have been such a hassle. I've got the line to hook up a few times bur it binds and wond shift t he gears smoothly at all.

 

Welcome to the Nation.

You tried the adjustment is Post #2? I don't have any idea of how much adjustment is available there.

Do you still have the old transmission? If so, put the shift lever back on it and see if it indexes in the same position as the new transmission. If it is the same, the problem most likely is with the cable installation. I'm assuming that all of the cable brackets were swapped over also.

Maybe work backwards. Remove all the brackets. Attach the cable to the lever and see if you can align the brackets to the transmission.

 

Thanks for your help. It was the bracket. As simple as a flip.

 

Good work. Thanks for the update.

 

Which part of the shift cable are you removing to adjust?? The cable by the transmission or the part by the shift handle inside the car??