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I second that. Check the electric transfer motor. Its super easy to change yourself. Check Rockauto.com, it has refurbished ones listed as $141 dollars. I doubt you'll see it that cheap at the local stealership's parts department.
this is what the culprit looks like:
its screws right into the backside of the transfer case. If the motor is fried or the harness is unplugged 4x4 will not work and no indicator lights. Check the harness first. I've heard that sometimes the motors just seize up and whacking it with a hammer then trying to shift into 4x4 works.
Originally Posted by Fishin76
See this TSB. The part in the TSB is ~$30, and will fix your 4x4
All these problems is exactly why I got the tried and true pull lever 4x4. If you cant trust the equipment, then why have it? It sure would suck to be mired up in a 3 foot mud hole or in 12" of snow and find out that that little actuator has crapped on you.