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I've got a NP 208 that has had this problem since I replaced the shift fork and a thrust washer about 4 years ago. The previous washer ate through the shift fork and would try to shift itself into 4-low while coasting downhill. That's fixed.
Now with the hubs locked going any speed, the t-case won't shift to 4 high from 2 high. I have to physically stop then shift. The unit will function normally after this. If I try to shift the transfer case at speed, with hubs locked, it grinds or makes a chain slapping noise. It's as if the front wheels won't synch with the rest of the
drive train.
Any ideas on this? The original problem stems from a broken rear pinion bearing race. That's never been fixed. Would that possibly cause this problem now?
I know I should fix the whole thing, but time, money ...blah blah excuses. Just trying to hold it together with duct tape and bailing wire.