Problem with key

A handy person from Jackson, NJ says:
I purchased the following from you: item 82-238 and 82-081. I put everything together on the door. All fit fine. The problem I am having is the lock works fine with from outside the lock latch works fine from inside only if the key is left in outside cylinder. If I remove the key from cylinder the interior latch will only throw the lock about a 1/4 inch and stops. What have I done wrong. Please help. I am sure it is something easy. Thanks for your help.
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Dave Sr. from SWISCO responded:

My first thought is that the key is out of sequence with the inside thumb turn. Try reinstalling the outside handle. When you do, make sure to turn the key in the cylinder when reinstalling it. Maybe that will get it back to the correct position.

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