Product: Vehicle loan or lease

this formal complaint against Ally Financial due to multiple instances of improper handling of my auto loan, inaccurate credit reporting, and potential violations of the Fair Debt Collection Practices Act ( FDCPA ). Below, I outline the issues : 1. Insurance Payment Not Applied to Loan Balance : On XX/XX/XXXX2024, my insurance provider made a payment to Ally Financial to cover the outstanding balance on my auto loan, including GAP coverage. 
Despite numerous attempts to contact Ally Financial via email and phone, the loan remains unpaid. I have repeatedly requested that Ally Financial apply the payment and close the loan balance, as required under the terms of GAP coverage, but they have failed to fulfill this responsibility. 
2. Continued Monthly Charges and Misrepresentation : On XX/XX/XXXX, 2024, at XXXX XXXX Ally Financial verbally assured me that they would not charge me further monthly payments. Despite this, I continue to be billed for the loan, further compounding financial and emotional distress. 
3. Inaccurate Credit Reporting : Ally Financial has added XXXX late payments to my credit report. 
XXXX late payment contains incorrect information, including the date and balance, which does not align with my account records. 
Another late payment was added despite my contractual agreement for a roll-over period due to documented medical issues. This is a direct violation of the agreement and an unfair practice. 
4. Potential FDCPA Violations : Ally Financials actions appear to violate several provisions of the FDCPA, including but not limited to : 15 U.S.C. 1692e : Prohibition of false, deceptive, or misleading representations. The inaccurate reporting of late payments and the continued charging of monthly payments despite verbal assurances constitute deceptive practices. 
15 U.S.C. 1692f : Prohibition of unfair or unconscionable means to collect a debt. Continuing to bill for a loan after insurance has paid off the balance and failing to fulfill GAP coverage obligations may constitute unfair practices. 
15 U.S.C. 1692d : Prohibition of harassment or abuse. The ongoing billing and refusal to resolve the issue after numerous attempts to communicate may be construed as harassment. 

Resolution Requested : I respectfully request the CFPB to investigate Ally Financials handling of my account and take the following actions : 1. Require Ally Financial to immediately apply the insurance payment to the loan balance, close the account, and cease all further billing. 
2. Remove the inaccurate late payments from my credit report. 
3. Conduct an internal review of Ally Financials compliance with FDCPA regulations and take enforcement actions as necessary.

4. Provide compensation for the financial and emotional distress caused by these ongoing issues. 

I have attached supporting documentation, including correspondence with Ally Financial, records of the insurance payment, and a copy of the loan agreement outlining the GAP coverage terms. 

Information regarding vehicle & account Please see the attached total loss letter and estimate from XXXX for the GAP claim on Ally account XXXX  XXXX on the below vehicle : XXXX XXXX XXXX XXXX : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX and XXXX XXXX