I just did this on my black and decker router. You need to unscrew the nut that holds the collet and remove it altogether. Then slip out the collet in there and replace it with the new size. Take care to notice how it goes in when you take the old one out. Then rescrew the nut that holds it in place and tighten. My router had three collets and only one of them works for each size, so if it doesn't tighten properly, it may be the wrong size. Good luck.
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