So 4wd locks in but it drives like it has lockers. Makes this horrible crunching and grinding noise. Transfer case broke or the diff

 

Where is the noise coming from? Front of the truck, or right underneath you?

 

u joints? your not giving nearly enough information to even come close to a diagnosis. Tell us more.

 

ok i shift into 4wd just fine. when i start driving in 4wd about 10 mph the front of the car makes a horrible grinding and crunching noise. its almost like driving with lockers on.

 

Pop off that vacuum operator on the passenger side front axle and see what is going on in there.

 

Put it on stands then throw it in 4wheel and see if you are getting power out to the front shaft and listen to the t case to eliminate that as a problem. Then check u joints for rust coming out of the caps or play. Check fluid in t case and front diff.

 

i think the fluid is coming out of the diff or something around it

 

It sounds like U joints to me... If you think its leaking i would probably change the axle seals, differential gasket, and put some fresh fluid in it.

 

drain the fluid and see if you have any metal shavings in it! take the shaft off and wiggle the pinion end to see if you have a bad bearing! busted bearing is what it sounds like to me, that were i would start if i were you .. hope this helps!! g00dluck

 

agreed sounds like a bad bearing to me also