I have a 98 Dodge 3500 4x4 with a new manual trans (about 40000 miles). The past week or so when i am in gear at a stop sign or light with the clutch in, sometimes i start hearing a soft grinding sound..like the tranny is trying to engage.

Today, i was speeding up on the highway, and suddenly the transfer case popped out of 2H and into Neutral. I can pull it back and it will engage again and can hold it there. The pop comes consistantly, almost every mile on the nose at highway speed. Any ideas???

 

do a search on tcase broken snap ring. its a fairly common problem.