Consumer complaint received 2020-09-09
Company: ALLY FINANCIAL INC.
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Closing on a mortgage

Complaint:
Let me start by briefly explaining the problem. We recently went through refinancing our home with Ally Bank. After we signed all the paperwork at the closing on XX/XX/XXXX, Ally called me in the afternoon of XX/XX/XXXX, the day the loan was to fund informing us that we had to pay an additional {$350.00} for a lock extension or they would not fund the loan. We felt very pressured and bullied into being forced to pay this fee at the last minute in order to avoid either additional rate lock extension fees or the whole loan being cancelled. We don't believe we should have been forced to pay this fee after we had already signed all the paperwork at closing. 

Now for a little more context. 
Time leading up to the loan application getting approval from underwriting : During the rate lock period when Ally was collecting information, there was a period of time ( about 1 month ; XX/XX/XXXX to XX/XX/XXXX ) where they did not specify specifically what piece of information they needed with respect to a lawsuit. They requested something along the lines of " documents related to the lawsuit. '' I told them I didn't have anything, and asked what they needed and/or why. This was around XX/XX/XXXX. We didn't hear anything from the bank about the progress of the loan other than the portal showed it was on track. I contacted them by phone and through their online portal about the loan, but never received an indication that what they needed was a copy of the complaint. Finally, around XX/XX/XXXX, they indicated they needed the complaint. I didn't have it at the time but submitted a copy of the settlement. They said this would not suffice and said again I needed to submit the complaint and finally explained why to show that I was in fact the plaintiff, not the defendant. I then asked my attorney for the complaint and then submitted it to Ally Bank. Because they did not have the complaint the loan application would not go through underwriting and as a result the rate lock was set to expire the day before closing. Had Ally indicated they needed the complaint back in XX/XX/XXXX, I could have gotten them what they needed sooner, but they did not provide me with a specific indication until late XX/XX/XXXX. 

Time leading up to closing : Prior to closing they informed us that we would need 6 days of extension to cover the time to the funding of the loan. I told them I didn't think I should have to pay because we had provided everything they requested in a timely manner. Ally said they would check to see if Ally would cover the fees. Then the day before closing they said Ally would cover {$250.00} and we would need to pay the remaining {$350.00}. I said that was not right and asked to speak to a manager who was capable of making decisions and was denied. I did later receive a call from XXXX, she said she would relay the message and call me back about the issue. I never received a phone call back or any message through the portal, but I did get an email which unfortunately went to my junk email. The email said that Ally would cover {$250.00} but we would need to cover {$350.00} and then asked what we wanted to do. She did not call that day, and she did not call the day of the closing or in any way attempt to follow up to see what we wanted to do. 

Day of closing and post closing : I logged into the Ally portal the morning of closing and saw that the lock had been extended and that the closing papers that were available did not have any charge for a lock extension. So I had assumed Ally was covering the fees. We proceeded to go ahead with the closing. About an hour or so after we finished, Ally called to ask if we had any questions, about the closing. We said we already closed. She did not mention anything about us owing additional money for the lock extension. Then two days after closing ( on theXX/XX/XXXX ) they apparently posted to the portal a changed closing disclosure notice that had the fees, but they did not call to let us know that it was posted. Then on the XX/XX/XXXX the day the loan was supposed to fund, they called to tell us about the changed closing disclosure and said if we don't sign now and give them {$350.00} they would not fund the loan. I still feel they are solely responsible for this fee. Plus, the fact that we had already closed and the fee was not listed, they shouldn't be allowed to hold up funding unless we pay.

Company response to consumer: Closed with explanation