Forget the word "Bands" with regards to automatic transmissions any more. Adjusting bands went out in the 60's with GM's and in the 70's with Chrysler's. Some cars do still have bands but they are not adjustable.
Without any broken parts in the transmission and only a basic rebuild which includes replacing all the clutches and seals and sealing rings and flushing the torque converter can be done with a good profit for $1000. Like an $900 profit.
As far as the clutch in the torque converter being the problem, that would not be the case. The clutch only locks up at cruise. If you drive your car and accelerate at a mild amount of acceleration you can feel the converter lock up just after it shifts into the final gear. It feels like a mini shift and the engine will drop RPM's a tiny bit. If a converter is bad it will not lock up or it may chatter. It is very rare for a converter to go bad.
The largest problem with converters is if you do not rebuild them they will hold bits or tranny wear that you can not get out by flushing or the thrust washers in the converter wear out. Depending on the transmission you can often see when there is excessive wear on the converters bearings and there will be excessive end play or roughness as you take pliers and turn the 'turbin' and pull in and out on it checking for end play.
Ask the shop what they will do for that money. If they say it is for a soft parts rebuild with extra costs for any broken hard part damage you are talking to a decent place. In California it is illegal to do anything less. "Patching one up" without completely replacing all the clutches and seals is a huge reason to push your car out of the bay and down the street to a better center.
My 2 cents.
I managed tranny shops in my youth.
Russ