If the transfer case is in neutral your not supposed to have any forward or reverse gears. It has to be in 2H, 4H, or 4L. If your not in one of those it is just like your transmission is in neutral. I am thinking that you thnk you have a problem when you don't. For everyday driving it should be in 2H. 4H should be used when conditions are bad and you are not going to be cruising at really high speeds although I know alot of people who do. 4L should be used if you are stuck and are just trying to get free and not going to go much over 5 MPH and you need as much power as possible. So put it in 2H and ride ride ride!!!

 

That's how it works. If the transfer case is in neutral you don't go anywhere. I think you are misunderstanding how the transfer csase works. The transfer case is the link between the transmission and the wheels. It lets you select if you want to be in 2 wheel drive (2H) or 4 wheel drive (4H/4L). If it's in neutral there is no power from the transfer case to the driveshaft, just like if the transmission is in neutral there is no power from the transmission to the transfer case.

Does this help?

 

Tcase only transfers power so if its in neutral no power to any wheels. If u select 2h or 4h then power is then passed through and u move forward or backwards