One problem related to transfer case has been reported for the 2006 Chevrolet Colorado. The most recently reported issues are listed below. Please also check out the statistics and reliability analysis of the 2006 Chevrolet Colorado based on all problems reported for the 2006 Colorado.
We owned a 2005 Colorado that had problems with the lifters which had to be replaced. It also shifted into 4 wheel drive high, in most cases when shifting to drive after being parked or idling in traffic. Steering and brakes would lock up, and the only way to get it out of 4wd high was to drive in reverse. After a year long battle with our local chevy dealer, and 11 times in for service, we traded it in for a 2006 model. Two weeks after we got our new truck, the same thing with the 4-wheel drive happened while in line at the bank drive-up on a Saturday morning. I contacted the dealership as soon as I got home and was told to make an appointment to bring the truck in to be looked at. Upset, I told him that we had taken our last truck in countless times for this same problem and the problem could never be "duplicated". We did take it in and they replaced some computer part or chip but it has done it again since then. This could be extremely serious if we were driving at any rate of speed let alone on a highway. Chevy needs to address this issue. We need to make them address it.