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I have a 2002 Avalanche, and all of the following has been true since it was brand new: I get the banging noise (probably what you're talking about) along with the whole truck surges, when coming out of 4WD. While in 4WD it seems to be in a tight bind, especially when turning sharply, and it bangs and surges from the bind being released, when coming out of 4WD. I think this is all due to limited slip differentials, which I know it has in the rear and I suspect it must have in the front. I just know that when I first discovered it a few days after I bought it, I took it in to the dealer and they said it was all normal.
There are many things that could cause this, the first thing is to have the 4wd system scanned for codes, the codes will tell you what part of the system is failing and then with some testing you can find the problem. for example whenever the computer sees a problem it stores a code and then turn the light on, the code for example may say transfer case actuator high voltage. this could mean a bad connection or bad actuator, scanning the codes would be the first step, a scan tool would be needed to get the codes, may need to go to a repair shop. good luck.
if you can place gear selector to reverse and nothing happens but all other gears act normal then it sounds like the transmission needs to come out. sounds like the sun shell broke inside the trans. please let me know if I can help any more
We had the same prob with ours. Put it in reverse drive for about 20 feet if possible, then stop and put into drive. Might have to do this a few times, it might work straight away. Good luck.
it could be the chain in hte transfer case that runs from the input to the 4wd is loose and could be skipping over ur gears on the inside i know because mine did the same thing
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