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Transfer case gear whine

Heavy Metal Toy

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Quick back story-
Purchased this rig about 2 mo. ago- a 1998 Suburban 2500 with the 6.5 diesel and an NP 246 electronic shifting transfercase. Transfercase leaked fluid at a pretty good pace so I checked it out- it appeared that the transfercase had been recently serviced, and poorly. All of the bolts that hold the case halves together are slightly stripped- not enough to make it difficult for me to take it apart, but enough to be obvious that someone doing the work on it didn't know what they were doing. Also, there was some blue sealant between the case halves that was leaking out, and, well, not sealing the case very well, because a pretty good leak had formed at the bottom of the case where the two halves meet.

So I fixed the leak (don't ask how I did it, it isn't pretty but it works). But I notice that there seems to be an excessive amount of gear whine coming from the transfercase up above speeds of about 40 mph. I'm sure the noise isn't new, but that it's been there since I bought it, so I'm sure it's not related to my "fix".

My question is- how much noise is normal with these transfercases? It's not excessively loud, at seventy you can just barely hear it inside the cab with the windows up. Windows down its noticable but not annoying. Do I have other issues? Should I yank that case out and inspect/replace parts, or just run it and don't worry about it? It has been freshly filled with Dex III fluid, is there maybe a better fluid to run? I was doing some reading on another site that suggested 5w30 engine oil for transfercases, but it seemed like it was mostly guys with '00 and newer rigs. Not sure, someone here knows I'm sure though!

Thanks, any info would be helpful.
 
in 2wd you shouldnt even know its there, in 4wd on dry pavement you should be able to hear it a little and in 4wd in snow you should barely hear it. just to make sure, you did refill it after fixing the leak right? being low on fluid will make them whine.
 
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