Six problems related to transfer case have been reported for the 1998 Ford Explorer. The most recently reported issues are listed below.
Re:Ford Explorer wheel lockup and uncontrolled skid at highway speed. The vehicle was taken to be repaired. The technician found significant metal fragments in the transfer case indicating severe gear stress when the vehicle self shifted into 4x4 low engagement.
Vehicle lost power (to accelerate) yesterday after grinding noise from transmission. Coasted into a parking lot, but was unable to move it from there. Continued to grind moving shift lever from any gear into park. Vehicle has less than 60,000 miles on it. Current transmission is a replacement. Previous (original) transmission dropped into neutral and engine revved (w/ loss of power) at inopportune moments- while accelerating or trying to accelerate, while coasting or while at a complete stop. Began complaining about this about a month after purchase, but transmission was not replaced until Jan. 2002. I was given a 12-month warranty on it then, although the vehicle was purchased with the extended warranty, which was supposed to cover everything (bumper to bumper) to 50,000 miles.
When driving at 40 mph transmission transfer case would make a loud noise and it would be hard for the driver to accelerate forward.
While traveling on the highway and without prior warning four wheel drive will engage on its own, causing vehicle to suddenly accelerate.
Design problem with the automatic 4x4 control and vehicle electronics.
Tranfer case still not switch out of 4-wheel low. Fords's remedy: turn ignition to on w/o starting, put transmission into neutral, turn off ignition, put transmission back into park. Had 4x4 solinoid replaced. Problem still exists. Dealer told me they have had several bad solinoid come in to be replaced.