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That is very informative, thank you! I have wondered if it is something not actually mechanical as well.... So are you saying the OBD temp you are getting is not correlating to the temp gauge on the dash? Or do they stay pretty well in sync?

I think you may be right, I found a diesel specialist about 20 mins away from me, so I may have it towed over to him and get one more opinion. It is just so hard to let it go with the engine only having 130k miles, I know it has so much more left in it

You just reminded me of something I left out, dealership 2 said it was the waterpump and I had that replaced as well! lol

I have a 2014 Passat TDI that has had basically no issues its entire life. I started experiencing loss of heat on the passenger side of the car almost 2 years ago (car still under emissions warranty at this point). The dealership (lets call it dealership1) replaced the heater core under warranty...