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Test H: Passive Anti-Theft System Received Invalid Key - Code Format From Transponder

WARNING: This page is about a different car, the 2002 Ford Mustang. However, it is still accessible from the selected car via links, so may be relevant.
NOTE: Large metallic objects, a second Passive Anti-Theft System (PATS) ignition key, or devices such as electronic credit cards on the same key ring may cause vehicle starting problem and possibly set this code. Ensure customer's encoded ignition key is an approved Ford encoded ignition key. Encoded keys from Rotunda, Ilco, Curtis and Strattec are also approved keys.
  1. Turn ignition switch to LOCK position. Connect Worldwide Diagnostic System (WDS) tester or New Generation Star (NGS) tester to Data Link Connector (DLC). See Figure. DLC is located under instrument panel between steering column and radio. See Figure. Turn ignition switch to RUN position. Using WDS or NGS tester, perform instrument cluster self-test. See SELF-DIAGNOSTIC SYSTEM in ANALOG INSTRUMENT PANELS article. If DTC B1602 is retrieved, go to next step. If DTC B1602 is not retrieved, system is okay at this time. Check all customer encoded ignition keys with instrument cluster self-test to verify all other keys are programmed. Clear DTCs and repeat self-test.
  2. Turn ignition switch to LOCK position. Obtain a NEW encoded ignition key. Using new encoded ignition key, turn ignition switch to RUN position. Program new encoded ignition key. Perform KEY PROGRAMMING - ERASE ALL KEYS & PROGRAM 2 KEYS  under PROGRAMMING. Using WDS or NGS tester, perform instrument cluster self-test. See SELF-DIAGNOSTIC SYSTEM in ANALOG INSTRUMENT PANELS article. If DTC B1602 is retrieved, go to next step. If no DTCs are retrieved, system is okay at this time. If any DTCs other than B1602 are retrieved, perform appropriate test. See INSTRUMENT CLUSTER DIAGNOSTIC TROUBLE CODE INDEX  table under SELF-DIAGNOSTIC SYSTEM. After repair, clear DTCs and repeat self-test.
  3. Ensure ignition switch is in LOCK position. Replace transceiver module. See TRANSCEIVER MODULE  under REMOVAL & INSTALLATION. Turn ignition switch to RUN position. Using WDS or NGS tester, perform instrument cluster self-test. See SELF-DIAGNOSTIC SYSTEM in ANALOG INSTRUMENT PANELS - MUSTANG article. If no DTCs are retrieved, system is okay at this time. If any DTCs are retrieved, perform appropriate test. See INSTRUMENT CLUSTER DIAGNOSTIC TROUBLE CODE INDEX  table under SELF-DIAGNOSTIC SYSTEM. After repair, clear DTCs and repeat self-test.