Originally Posted by mtbprelude
Ummm... when did you buy the car? How many miles were on the car?
I guarantee the clutch is not the original clutch. I recommend a whole new engine. If the clutch/transmission is in that state there is no telling what the engine is like internally. hmotorsonline has plenty of decently priced engines for you.
Minimally replace the whole tranny, in that case EBAY is your friend.
Why would you replace a perfectly good engine? Replace the clutch and see if that helps. I had the same grinding issues, so I got my clutch changed and I no longer have those issues. If your clutch doesn't fix it, you could rebuild the tranny but it isn't worth the money when you can buy a used tranny for only a few hundred dollars.