squeaking rear and inside when braking

They are probably full of brake dust. The easiest thing to try is jack up the car, remove the rear wheels, pull off the drums, and dump out the dust. Try to keep the dust to a minimum -- work outside, dump into a garbage bag, don't use compressed air, etc. A more involved drum cleaning and adjustment can be done by a dealer (the one in Auburn seems popular) or most service shops.

The drums should probably be cleaned every 50,000 miles, but I know there are Prii out there with hundreds of thousands of miles on them and the drums have never been pulled.

 

Hi mig1980, I did inspect Front brake pads today, here is the link:

http://priuschat.com/forums/gen-ii-...-after-changing-front-pads-3.html#post1355912

don't worry about the title, I have posted Q&A in this thread to avoid creating too any treads.

post #28 includes pictures.

Make sure to follow Patrick's procedure #25 .

Regarding the Rear you would need to check by removing rear wheels and remove drums, it should be easy, just make sure to level the car, block the wheels and do not apply a hand break as you won't be able to remove the drums with handbrake on.

My european prius I have discs all around, I need inspect the rear discs and pads (lack of use and plenty of rust there).

Make sure to have impact screwdriver (one with a spring) and some small hammer will help.
If you don't have the impact screwdriver try any older cross srewdriver which you may hit with a hammer while turning it anticlockwise, as since it's Toyota then there shouldn't be any problems to open the bolt and remove the drums to inspect inner part of the drums and shoes, cylinders. Cylinders- you may delicately lift with non sharp tool a piece of rubber and check for leaks. Outer and inner parts of cylinders shouldn't have visible leaks, all what you should see is brake dust and no wet leaks.
Make sure to don't touch springs and alignment elements as you will have problems with reverse of the process to assembly the drums back again. You may cause one wheel to apply different force to the rear while braking, cause a ''fire'' or overheat the rear drums if you don't put everything back together in exact same way as it was before.
Also make sure no one touches hand break while rear drums are off as this will cause a problem (you would need to re-align the rear shoes again or even worse if cylinders go off and leak (you will introduce air into the system))
Good luck.