Q: Can bad front wheel bearings cause 2007 gmc yukon to slip out of 2 wheel drive into 4 wheel drive and slip back again?

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My car was shifting in and out of 2WD - 4WD and making a grinding noise. (The light on the 2WD-4WD dial kept moving from one to the other.) My mechanic changed the crank shaft motor. After test drive the grinding was still happening. Then he told me it was front wheel bearings. We're pretty sure new bearings will fix grinding noise but now that he switch crank shaft motor first, there is no way for testing if the bearings were the cause of the shifting (or sensor only). So, my questions is, could bad bearings cause sensors to malfunction?

My car has 130000 miles.
My car has an automatic transmission.

Bad wheel bearings can cause the front wheel sensors to not register correct wheel turning rotations and cause sensor fault codes and even faults in 4x4 and ABS systems.

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