I have been having some trouble with my new 1989 240 which I have posted on this board about a couple of times. I took it to a friend of mine's shop here in town but he only deals with american cars and he refuses to get his hands dirty on my volvo. The noise is a moan, when under load, that immediately stops when you take your foot off the accelerator. I thought it only happened in 3rd 4th and 5th gear, but when I listen i can hear it now in the lower gears (the engine noise drownes it out a little). I thought the throwout bearing might be bad, but he thought that my gears might be bad in the tranny. We put it on the lift and the noise disappears with the car off the ground. We pulled the drain plug and there were metal shavings on the plug. Does this mean that it is the rear end? If so, what is the best way to fix it? I saw an earlier post about rear ends, and a possible upgrade to limited slip...is this a possibility, if so how much work will it be as I do not know a great deal about working on these cars.

thanks for the help