Four problems related to transfer case have been reported for the 1997 Chevrolet Blazer. The most recently reported issues are listed below.
While driving there was a loud noise. Lower ball joints and tranfer case have failed.
The 4 wheel drive won't switch from 2 wheel drive when pushing the buttons. Now, the lights won't work except for the 2 wheel drive light. Nothing happens at all when pushing the buttons. The vehicle stays in 2 wheel drive all the time. I had it checked and I was told the encoder motor and or solenoid was no good. I was also told that there might be a silent recall on this problem. I phoned a Chevrolet dealer and they didn't know of any such recall! this is an expensive repair that needs to be addressed, that the consumer should not have to undertake. My vehicle is in excellent condition and I would like to have this problem fixed by the manufacturer. Besides the fact that if I wanted to trade the vehicle, this would be a great depreciation on a trade-in. I don't know who to talk to, and find out what to do about this repair and to have the manufacturer liable for the expense.
Encoder motor failure: called Chevrolet 800 number to complain about not being able to swictch from 2-wheel drive to 4-wheel. Made an appointment with local dealer. After diagnosis, told there was a encoder motor failure and the motor had to be replaced. Made several attempts to contact chervrolet point of contact to discuss if this should be covered under warranty since the 4-wheel drive was hardly used and the part is probably defective. However, no response as of yet. The cost is $600 for the repair. The car had only 45,000 miles at the time. Prior to that, the light on the 4-wheel button would be lit during switching but nothing would happen. Doing a search on the internet resulted in several complaints about the encoder.
Luddy Chevrolet denies that problems with transfer case and transmission are engineering defects. Transmission fluid smelled burned, and also constantly slipped. Transfer case made a noise when in motion, was a bent shaft and worn bearing. Both of these problems should not be happening to a highway driven vehicle with 61500 miles.