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Went to add gear oil to the t-case today cause it has been awhile since i checked it and tranny fluid/gear oil mix came out. Howbad is this? Obviously there is a bad seal somewhere, but where? Also can this damage my 205? Thanks.
 

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Will not damage the 205 but you will have to take the 205 off the back of the trans and replace the seal/s. in the adaptor housing. I would also service the trans. at the same time. Don't want gear oil in the auto.
 

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I have been told that in some app 205's that auto trans fluid is used from the factory. I think just for situations like this. I can't confirm that this is true or false but if you can verify that it's true you could put the ATF in you 205 until you get the seal fixed. This would prevent heavier oil from getting into the trans.
There should be 2 seals between the trans and case. One in the trans rear adapter housing and one in the 205 input bearing retainer. You have to pull the T case to get at them.:)
 
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