Hyundai · Known Issues
2023 Hyundai Palisade Problems: 15 Known Issues
2023 model year · 1,450+ owner reports · Updated September 2026
2023 · All trims · All engines
Choose the year and equipment for your written issues and visual request.
2023 model year · 1,450+ owner reports · Updated September 2026
2023 · All trims · All engines
Choose the year and equipment for your written issues and visual request.
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According to Au7o's analysis of 1,450+ owner reports, the 2023 Hyundai Palisade has 15 documented known issues, with 5 rated critical. The most serious are Idle Stop & Go (ISG) Electric Oil Pump Controller Fire Risk — Recall 246 / 23V526, Seat Belt Buckle Fails to Latch (Out-of-Spec Buckle Assembly) — Recall 25V607, Third-Row Side Curtain Airbag Improper Deployment (FMVSS 226 Failure) — Recall 26V034, ABS / Traction Control Malfunction on Rough Roads (Class-Action Braking Defect) and 3.8L Lambda II Excessive Oil Consumption Leading to Rod Bearing Wear and P1326 (KSDS) Limp Mode ($300-$9,000 repair). The most commonly reported issue is Oil Dilution / Gasoline Contamination in Engine Oil with 620 owner reports. Across all issues with published estimates, repair costs range from $150 to $9,000. DIY maintenance guides at au7o.io.
SEAT BELTS: REAR/OTHER:BUCKLE ASSEMBLY
Hyundai Motor America (Hyundai) is recalling certain 2020-2025 Palisade vehicles. The seat belt buckles in the driver, passenger, and second-row window seats may fail to latch.
POWER TRAIN:AUTOMATIC TRANSMISSION:FLUID/LUBRICANT:PUMP
Hyundai Motor America (Hyundai) is recalling certain 2025 Hyundai Palisade vehicles. An insufficient seal on the controller for the electric oil pump may allow moisture to accumulate in the printed circuit board, which can cause an electrical short and result in a fire.
AIR BAGS:SIDE/WINDOW:CURTAIN
Hyundai Motor America (Hyundai) is recalling certain 2020-2025 Palisade vehicles. The side curtain air bags for third-row occupants may deploy improperly in a crash. As such, these vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard (FMVSS) number 226, "Ejection Mitigation."
VISIBILITY/WIPER
Hyundai Motor America (Hyundai) is recalling certain 2021-2023 Palisade vehicles. The windshield wiper motor may operate intermittently or fail to operate due to snow or ice buildup on the windshield, causing the wipers to fail.
SERVICE BRAKES, HYDRAULIC:POWER ASSIST
Hyundai Motor America (Hyundai) is recalling certain 2023 Palisade vehicles. The brake booster diaphragm may become misaligned and cause an internal vacuum leak, which can result in a loss of power brake assist.
+ 7 more recalls. Check all on NHTSA.gov
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According to Au7o's analysis of 1,450+ owner reports, the 2023 Hyundai Palisade has 15 documented issues. The most frequently reported are: Idle Stop & Go (ISG) Electric Oil Pump Controller Fire Risk — Recall 246 / 23V526, Seat Belt Buckle Fails to Latch (Out-of-Spec Buckle Assembly) — Recall 25V607, Third-Row Side Curtain Airbag Improper Deployment (FMVSS 226 Failure) — Recall 26V034. Of these, 5 are rated critical and should be addressed promptly.
The 2023 Hyundai Palisade has 15 known issues documented across 1,450+ owner reports. 5 issues are rated critical: Idle Stop & Go (ISG) Electric Oil Pump Controller Fire Risk — Recall 246 / 23V526 and Seat Belt Buckle Fails to Latch (Out-of-Spec Buckle Assembly) — Recall 25V607 and Third-Row Side Curtain Airbag Improper Deployment (FMVSS 226 Failure) — Recall 26V034 and ABS / Traction Control Malfunction on Rough Roads (Class-Action Braking Defect) and 3.8L Lambda II Excessive Oil Consumption Leading to Rod Bearing Wear and P1326 (KSDS) Limp Mode. Prospective buyers should inspect for these issues and factor potential repair costs into their purchase decision. Regular maintenance following the manufacturer's schedule helps prevent many common problems.
Repair costs for known Hyundai Palisade issues range from $0 to $9,000, depending on the specific problem and whether you choose DIY or professional repair. Au7o provides step-by-step DIY maintenance guides that can help reduce repair costs.
NHTSA recall 23V-526 (Hyundai recall 246) covers certain model-year 2023-2024 Palisade vehicles. The transmission electric oil pump for the Idle Stop & Go system may contain a controller printed circuit board damaged during manufacturing. A damaged capacitor can cause heat damage… Severity: high.
NHTSA recall 25V-607 (Hyundai recall 283) covers certain model-year 2020-2025 Palisades. Front-row and second-row outer seat-belt buckle assemblies may contain out-of-specification components that interfere within the latch channel and increase friction, especially in cold temper… Severity: high.
NHTSA recall 26V-034 (Hyundai recall 292) covers certain model-year 2020-2025 Palisades that may not meet the third-row headform-displacement requirements of Federal Motor Vehicle Safety Standard No. 226, Ejection Mitigation. Hyundai and NHTSA testing produced third-row displacem… Severity: high.
On 2023-2025 Palisades, the ABS and traction control systems can miscalculate wheel speeds when braking on gravel, dirt, or uneven surfaces, triggering rapid release-and-reapply cycling that lengthens stopping distances and, in some reports, spikes steering effort. A class-action… Severity: high.
Separate from fuel-in-oil dilution, a population of 3.8L Lambda II GDI V6 Palisades burns oil at a high rate — owners report as much as a quart per 500-600 miles with no external leak. Because the engine holds a fixed sump and the oil life monitor does not account for consumption… Repairs typically run $300-$9,000. Severity: high.
The 3.8L Lambda II V6 in the Palisade can suffer from fuel diluting the engine oil, particularly in cold climates with short trips. The GDI system can allow unburned fuel past the piston rings during cold starts. Oil level rises above the full mark and smells of gasoline. Hyundai… Repairs typically run $0-$200. Severity: medium.
Palisade headlight assemblies are prone to moisture intrusion and internal condensation, significantly reducing nighttime visibility. The issue stems from inadequate sealing of the LED headlight housing. Some owners have had multiple headlight replacements under warranty, only fo… Repairs typically run $0-$1,500. Severity: medium.
The 8-speed automatic transmission in the Palisade can exhibit harsh 1-2 and 2-3 upshifts, delayed downshifts when passing, and occasional harsh engagement from park to drive. The TCM calibration is the primary issue, though some cases involve valve body wear. Hyundai has release… Repairs typically run $0-$1,500. Severity: medium.
Two related panoramic sunroof defects are widely reported. First, the sunroof drain tube is routed and secured poorly at the factory and gets kinked or pinched behind the headliner; the sunroof tray then overflows and dumps water into the headliner, A-pillar and onto the front se… Repairs typically run $150-$1,800. Severity: medium.
The powered liftgate spindle drive units (the powered struts on each side of the tailgate) fail commonly, typically starting around 30,000-50,000 miles. The plastic outer housing is thin, and the internal spring shears and bunches until it splits or bursts the housing — owners de… Repairs typically run $400-$2,500. Severity: medium.
Palisade owners report the central infotainment/navigation screen going black and unresponsive, taking out GPS, Bluetooth audio, and the backup camera at once, sometimes requiring a costly head-unit replacement. Separately, BlueLink remote start and app functions stop working, of… Severity: medium.
One of the single largest owner-complaint threads in the Palisade community concerns windshields that turn a pinhead stone chip into a full-length crack, often overnight after a heat/cold cycle. Owners report cracks appearing within hours of delivery and cracks over 10 inches lon… Repairs typically run $450-$1,400. Severity: medium.
Higher trims use self-leveling rear shock absorbers. Owners across palisadeforums.org and palisadeforum.com report a knock, thump or hollow pop from the rear over expansion joints and rough pavement, often accompanied by a harsh, uncontrolled rear ride and visible oil weeping fro… Repairs typically run $600-$1,600. Severity: medium.
Palisade owners routinely find the rear pads worn out at 30,000-40,000 miles while the fronts still have most of their life — the opposite of normal wear distribution on a front-heavy SUV. Forum teardowns identify the mechanism: the rear caliper pad-retraction springs are very we… Repairs typically run $300-$800. Severity: medium.
A recurring Palisade complaint is a 12V battery that goes flat after the vehicle sits a few days, repeating even after the battery is replaced — one owner reports being on a fourth battery. The root cause in the documented cases is a module that fails to go to sleep and holds an… Repairs typically run $200-$1,200. Severity: medium.
Content on this page was compiled with AI assistance using NHTSA complaints, TSBs, owner reports, and public automotive data. While we strive for accuracy, this information may contain errors. Always verify repair procedures and specifications with your vehicle's service manual or a qualified mechanic.