Anita,
Let us identify the problem first.
1) Do you hear the noise when you turn the steering wheel or when you making a TURN? - i.e. like when you are trying to make a U turn or K turn?
2) Do you feel any Vibration? (no pun intended)…? The reason why I ask is because this normal to a quattro system… I drive an Audi A6 2.7T (2000) Quattro…and it does that. Prior to this car, my brother's Audi 5000 CS Turbo Quattro does the same exact thing.
This is due to one of wheels being locked to turn at the same speed as the other.. Basically it’s a limited slip differential.. If you are turning beyond that slip, it will drag the other wheel..
Let us take this example for our purpose and stick with just the front wheels:
If you are making a sharp right turn (i.e. steering turned ALL the way to right and car is under 5 MPh etc - usually like when you get out of the drive way or making U turns in a small space), the right will will turn / travel less than the left wheel. Because the left wheel is farther away from the center of the turn than right wheel.. When this happens in a quattro system, the limited slip gives some leeway for the left wheel to turn more. But one point, it will lock it with right (not necessiarly lock, but we'll say runs out of the available "slip") and gets forced to turn with the right AT the same speed. Now, how can that be possible? That's why you get the tire dragging or rubbing on the road….and the noise you hear / feel…
Now, this may not be applicable at all to to you if the car is NOT in motion.
I hope that helps.