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I have an 1996 XLS which I put a aftermarket radio in. My first attempt, the future shop "pro" installers gave me the wrong harness. So I uninstalled the FACTORY radio, tried to install the aftermarket, then had to REINSTALL the factory radio until I got the correct wiring harness.
When I reinstalled the factory radio, I did not have to input any code, and it didn't trigger any alarm/security device. The radio had been out of the car for two days. Maybe it was because it went back into the same car, but I think if you find a 98-99 radio, and it looks to have the same mounts and harness (almost certain it will have to be from a 98-99 XLS to connect to the 96 XLS amp), then it should work.
Worst case, I know the junkyard around here gives you a couple weeks return policy, so ask if you can return it if it doesn't fit.
IMO you should probably go aftermarket. Installation is easy if your not adding an amp/subs, etc. Just replace the harness, couple of screws, and feed the aux wire through the bottom of the center console...
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