When driving down the road we can hear a grinding/rubbing noise from the rear and the noise seems to be coming from the passenger side of the back. I jacked up the rear and turned the wheels to see if the brakes may be rubbing, but they did not seem to be.I then put it in gear and let the wheels turn, I could hear the noise, so with the tires still moving I put the tranny in nuetral and the noise stopped as soon as the drive line quit moving.
Did you check the fluid level in the rear end?
SOURCE: 2000 Jeep GC LTD - Quadra Drive Does Not Engage Front Wheels
the 247 doesnt use solenoids but oil pressure from a gerotor pumps driven by the front and rear driveshafts to a progressive coupler. a set of orifices and valves direct fluid to the coupler to determine how much torque is sent to which set of wheels
SOURCE: 1996 jeep grand cherokee, quadra
Since you aready paid $400, go back to ;the shop and get your $'S worth!! Unless someone can prove that the axle bgs were bad, you shoulld ask why pinion & side gears were not diagonsed!!! (dosen't anyone test drive stuff after they "fix" something anymore??? Dosen't anyone give a damn???
If you can't get anywhere with this, find a junkyard unit and install it yourself. It isn't that hard. Just be sure that new lone has the same mount points and gear ratio matches ratio lof front axle.(count gear teeth if you must)
SOURCE: Rear Suspension noise on 2001 Jeep Grand Cherokee V8
Check sway bar. On some models as suspension sags, sway bar outer ends will contact the body, leaving a mark or dent just above the end, causing a bang over bumps. Only way to correct this is to change springs or add a spring lift.
SOURCE: 1997 Jeep Grand Cherokee transmission or transfer case
As I said, trans fluid keeps the internal components "alive"... Low fluid level can cause burning of internal clutches, premature hardening of seals (essential to proper transmission of fluid pressure) as well as lubrication of necessary gear components such as planetary gear set (which can cause whine etc. which you now have) All of these components rely upon a constant flow of fluid for both cooling and lubrication. Depending upon how low and how long these parts had interrupted fluid flow, directly influences how much damage was done. I take no joy in telling you that you may have damaged your unit, I'd be far happier if I could give you a quick, inexpensive fix. But based upon what you have said, If I was working hands-on with this problem, I would make the recommendation I've already made. There are pressure tests etc that can be done at a transmission shop to verify to some degree of certainty what is going on within your unit. Hopefully they may find something other than what I've said. At this point though, it is wise to have it checked out by a professional, before you become stranded at a time when you can least afford to be.
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