What does it mean?
OBD II Fault code P0826 is defined as “Up and Down Switch Input Circuit” on vehicles with manually shift-able automatic transmissions. Code P0862 is set when the Powertrain Control Module detects a malfunction in the electrical circuit(s) of the upshift/downshift switch, which works in conjunction with the transmission range correlation circuit.
Design specifics on how manual gearshifts are done differ, with some systems using the selector lever, while others make use of push-button controls on the shift selector or steering wheel, but in all cases, the system allows drivers to manually shift gears on automatics.
Activating the appropriate control will initiate either an upshift, or a downshift, with the signals being delivered to the TCM (T ransmission C ontrol M odule) via CAN (C ontrol A rea N etwork) protocols, and parameters that depend on the mode (Normal, Economy, Sport, etc.) the transmission is at the time of the manual shift.
All relevant components, such as the switch, wiring, connectors, and mode actuator form part of the circuit, most of which is built either into the console around the shift selector in the passenger compartment, or on, or near the steering wheel in some applications. The image below shows the general arrangement of the switchgear on a BMW E46 model. This image is for illustration purposes only, since the positioning of individual components will vary from vehicle to vehicle.
In this case, the black, plastic unit with wiring leading out of it directly to the right of the aluminum shift selector lever contains most of the upshift/downshift system switchgear.