Two problems related to transfer case have been reported for the 2006 Chrysler 300. The most recently reported issues are listed below. Please also check out the statistics and reliability analysis of the 2006 Chrysler 300 based on all problems reported for the 2006 300.
Symptom/condition: vehicle may experience shudder on slow, parking lot type turns. The friction disc in the transfer case can become clogged with iron particles and may create a stick-slip condition with the pressure plate inside the transfer case. Chrysler was aware of this defect September 15, 2005 but shipped the cars anyway. . .
Just purchased used Chrysler 300 touring awd sedan with 56,414 miles on it and by the time I got it home (an hour drive away I noticed binding in the front wheels when I turned into my driveway and again when I was leaving my driveway to enter the road. I took it back to the dealership (ren kirby Chevrolet, Buick, GMC) but the drive train is not covered under my limited 3 month 3,000 mile warranty. The dea;lership found that the planetary gears in transfer case are binding in front wheel portion of awd drive-train, if allowed to continue without service this could cause loss of control of vehicle and/or front axle separation resulting in loss of one or both front wheels. Estimated cost of repairs in excess of $1000. 00 and that is only if it is just the gear issue! this item should be recalled ASAP as I am finding out on several various auto blogs that this is a common safety issue!.