Nice score, looks great and you certainly can't beat the price!
Concerning the tape dragging when first inserted, the "most likely" cause is dust or oil on your rollers resulting in the tape slipping until it gets going. Clean what ever you can with alcohol insuring what ever you use isn't dripping wet, just damp. To get all portions of the rollers you insert a tape, let it play a second, eject it, clean do it again, that rotates them eventually exposing all portions for cleaning. Don't oil or lube anything inside your 8 Track, that's for the proffessionals.
Most dirt/oil/dust comes from inserting old tapes, make sure they're "clean" and the pressure pad on them are in good shape and not dirty. If the tape is in bad shape or dirty, don't let it near your 8 Track.
A good source I've found for tapes is from the guy below. They arrive in good clean shape guaranteed to play, most with new pressure pads.
http://www.8-track-shack.com/8-track-tapes-c-225_226.html?page=10&sort=0d
Jim
