When I put the jeep in 4wd and turn the wheels there is a popping under jeep. I had someone drive it and turn the wheels. I looked under and noticed the transfer case was making a snapping noise and moving along with the noise. What could this be?

 

Are you doing this on pavement? If yes that that's your transfer case telling you that it's trashed

 

It will do it on pavement or gravel.

 

So you HAVE been using 4H on pavement? Transfer case is probably shot dude...

Can you replicate any problems with the Jeep up on jack stands?

 

I havent been using 4wd on dry pavement. Just tried it on pavement once. Ill try the jack stands tho.