When you turn the ignition off the ignition switch is in the auxiliary
service position in which the wipers and radio should be working. When the
switch is fully off (key removed) nothing should work except internal lights
and the steering lock should be ready to engage. This is normal. However if
your radio works with the key out you may have a problem developing in the
wiring loom, or behind the switch.

All the best, Peter.

700/900/90 Register Keeper,
Volvo Owners Club (UK).

There was a fix from volvo for this but last time i checked the part was
no longer available if the blower fan is on turn it off before turning
car off i will do a little reasearch to see if this is being made
Glenn

Does the key reminder chime go off when you open the door in these
situations? Does the steering lock engage?

I was having this problem too until I figured out that the mechanism
which holds the key in the lock is worn out so the key can be removed
without returning the lock to the true zero position. Next time it
happens make sure you turn the key all the way back until it stops
before removing it from the ignition.

Hope this helps.
blurp