The defect is likely failure of the LCD module and the connections to the glass sandwich... it is likely fatal to the module... If you are adept with tools a bit, you can probably replace it yourself... You have to go slow and be careful to keep track of where stuff goes.
One has to be real careful to not damage the ribbon cables that connect between the upper and lower shell. I suggest having two people present to handle the shell when opening it. Have a good work surface and organizer cups or bins to keep screws seperate. There will be a LOT of screws from the back to remove to seperate the halves. DO NOT force anything.
You can probably order the part... Call Yamaha America Music support and ask for parts dept to order the part... I suspect it is a bit pricey. While your at it, inquire if they can sell you a service manual for the keyboard... they used to do this for $15 and you could get one with your order. The manual for the Tyros I got is very complete showing all the internal and assembly procedure.
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the problem is the large flat cable to my opinion, ,attached on the board above the lcd display. There should be a demagnetizing thing wrapped around the cable. This bcauses (when you play) slight movements so the cable will move slightly and causes the lines or even display malfunction. Just be sure the part where the demagnitiser is attached,is well inserted to the connector piece, and TAPE it on to the board so it ca n t move anymore or slightly come out of the connectorpiece
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