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How to examine and replace a dryer's felt seal:

Examining and Replacing a drum seal
Note:
Disconnect the power source to your dryer before you conduct this or any other repair. Either unplug the unit from the wall outlet, remove the appropriate fuse from the fuse box, or flip the appropriate breaker in the circuit breaker panel.

The absolute very first step to examining and replacing a felt seal is opening up the dryer cabinet and removing the drum. A link to drum removal instructions is found below.

With the drum removed from your dryer, inspect its seals. Remember that not every dryer drum will have two seals, some drums only have one.

Closely examine your dryer's seals. Look for signs of wear and damage. With your dryer's cabinet opened, before you remove the drum, and with the belt tension removed, you can spin your dryer drum by hand to get a good look at the entire seal.

Any badly worn seal will need to be replaced. Strip off your old seal. Scrape away as much of the old adhesive as you can. Your new seal may or may not come with its own tube of sealant. If it doesn't, you will have to procure a tube of sealant. Place your new seal stitch side down onto the drum where the old seal was removed. Insert your tube of sealant under the edge of the felt seal, as the adhesive is applied lightly and evenly all around the edge. Give the adhesive a couple of hours to dry before you return the drum to the unit.

Some dryer brands will sell a complete tune up kit, which includes a belt, an idler pulley, and two new drum support rollers. It may be worth your while to replace the belt, idler pulley, and drum support rollers at the same time you replace the felt seal. All of these items tend to wear down at pretty much the same rate. Replacing them now may save you another trip into your dryer in the near future.