My HD stopped working (rattling inside) so I switched it over with a original 8gig hard drive, but it keeps flashing red/green nothing on screen and frags. The chip is all good, D0 and BT are fine. I can't get to reformat the hard drive.

This is a v1.4

It is a DuoX 2 chip.

Not nearly enough info in here. (I edited your title as well)
Does it FRAG with the chip enabled/disabled/both. has the chip been working fine and this just happened? Is it a result of modding? Is the drive you fitted unlocked? If its still locked and its from another box it will not work
You need to state the EXACT symptoms and what you have done or tried in detail. The more info from you the more help the post will generate

I was on travelling on a truck (bumpy ride) with my xbox. I got out, tryed to turn it on and got a HD error. The HD was rattling. I put my old in and still wasn't going. It frags with the chip installed and enabling and flashing as it should. It worked before, but now I don't know what happened.

What happens when you boot with the chip disabled and your original (old) HDD in?
Did the box work with the chip in at any time?

It still frags with old HD and chip taken off LPC points. It worked perfectly before my trip.