Seth
This sounds to me like your rear transfer clutch is binding. When you put in the fuse it disconnects rear drive altogether, makes the car front-wheel drive.
Does it show no codes with the fuse out? The reason I ask is the C solenoid which controls the rear drive clutch pack. If the C solenoid was not working properly there is a possibility it would throw a code if it was shorted. [But the rear drive could be mechanically shot without throwing a code]
Chances are your rear transfer clutches are shot. You should do a search for fixes.
One suggested fix I recall is to drive the car in figures of eight in an empty car-park where it is safe to do so. The logic of this move is to unstick the clutches if your fault is temporary.
However, even if the clutches
are gone you are not facing the worst, dollar wise; these clutches can be replaced on the car without stripping the whole gearbox.
Do some searches for information.
Joe
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