Hello I will help you with your question,
If you are sure the noise is in the rear axle and not the transfer case you need to remove the cover for inspection. You may have a failed bearing or gear and metal is spread throughout the differential. If this is what has happened I suggest replacing the entire rear axle assembly with a used unit as repairing the damage will likely cost more than the replacement assembly
Let me know what you find with the cover off or I can find you a shop in your area that will do the inspection for you if you post your zipcode.
Thank you
ASE Master Technician
ASE Master Tech 10+ yrs, AAS Automotive Technology, Factory trained Asian specialist
I would be nervous about any grinding noise as it only comes from metal to metal contact. If you can avoid driving it I would leave it parked until you can have it looked at. Transfer case problems are fairly common with this vehicle so the noise may be coming from there instead of the rear end.
A shop in your area is
Mahle's Auto Service XX XXXXX XX, Tunkhannock, PA (XXX) XXX-XXXX
A little further away is
Dileo's Service Center XXX XXXXXXX XXX, Wyoming, PA (XXX) XXX-XXXX
Which is an AC Delco shop
Please let them know that an iATN member gave you their name
Let me know how I can help you with this