Once again, the 4-door GL hatchback was at the center of the Volkswagen Golf universe for 1996. As in years before, the GL was powered by 115-hp, 2.0-liter 4-cylinder engine. It was linked to a five-speed manual transmission, which was standard equipment; a four-speed automatic was available as an option. Standard features included updated cloth seats, power brakes, power steering, power door locks, dual airbags, an anti-theft alarm system, and an AM/FM/cassette audio system. Air conditioning was among the options. A glovebox, which had disappeared when the passenger-side airbag was added a few years earlier, also returned as a standard feature.

Other trim packages in the Golf lineup include the GTI, the GTI VR6, and the TDI, which came with a turbodiesel engine and was available in only very limited quantities to U.S. buyers.

The sporty GTI package came with the same 115-hp 4-cylinder that was used in the GL, but added anti-lock brakes, air conditioning, a sunroof, and cruise control to the list of standard features. The GTI VR6 came with a more powerful 172-hp, 2.8-liter V6 engine and a tighter suspension. And the TDI, where available, was powered by a 90-hp, 1.9-liter diesel engine with turbo direct injection.

Although some drivers noted problems (sometimes extensive) with their cars, overall drivers were enamored with the Golf, and some even became strongly loyal to the car. The Golf's dependability, styling, roominess, and safety features were noted as positive points by drivers.