2014 Silverado 1500 4WD Issue – Truck Feels Locked Up, 2WD Light Off, Only Auto Mode

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Yesterday | 6:31 PM

SemperFoo

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2014 Silverado 1500 4WD Issue – Truck Feels Locked Up, 2WD Light Off, Only Auto Mode

I have a 2014 Chevy Silverado 1500 LT 4WD (5.3L) with the button selector and recently started having a strange issue.

A few days ago, I switched from 2WD to Auto while driving, then later back to 2WD. When I went to reverse into a parking spot, the truck felt like something was binding up or partially engaged. It was very difficult to move in both forward and reverse, almost like the parking brake was applied, and the tires would somewhat scrub on the pavement.

I also received a "Service 4WD" message.

Current symptoms:

At startup, the 2WD light comes on briefly, then the red Neutral light comes on, and both go out.
If I turn the selector to Auto, that light will illuminate and stay illuminated, but the truck still doesn't seem right.
2WD, 4HI, and 4LO will not light up.
The truck feels like the transfer case may be partially engaged.
I don't hear any loud grinding noises.
I disconnected the battery to try a reset, but the issue remains.

I'm trying to determine whether this is more likely:

Transfer case encoder motor/actuator?
Transfer case control module needing a relearn?
Position sensor issue?
Wiring or fuse problem?
Something internal in the transfer case?

Has anyone experienced these exact symptoms? Any diagnostic steps or common failures I should check before throwing parts at it?

I really appreciate any help you can provide.