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The service indicator lights are reset through a pin in the diagnostic connector located in the engine compartment. There are 2 types of diagnostic connectors used on BMWs. One is a 15 pin connector used on 1987 and earlier cars, the other is a 20 pin connector used on 1987-on cars. In what follows the 15 pin connector is referred to as the early type and the 20 pin as the late type. Resetting the service indicator lights is described below. The most common problem with resetting the service lights is bad NiCad batteries in the instrument cluster. The batteries seem to fail pretty consistently after 4 years.
The service indicator lights are reset by connecting pin 7 to pin 19(ground). The proper way to do this is to have the ignition off and place a jumper wire between pins 7 and 19 (make sure you get the right pins!). Then turn the ignition switch to position 2 (run, NOT start), when the service light goes out, turn the ignition off. This should take a few seconds for an oil reset, 8-10 seconds for an inspection reset. All green lights should come on when the service light goes out. The difference between resetting the oil service light and the inspection light is in the length of time you have the jumper in place with the ignition on. This means that if you are resetting the oil service light, you should turn off the ignition immediately after the light goes out. If you leave the jumper in too long with the ignition on, you will perform an inspection reset as well and the next service indicator will come up as an oil service rather than an inspection.
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