Consumer complaint received 2018-04-02
Company: ALLY FINANCIAL INC.
State: ME
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Problems at the end of the loan or lease
Sub-issue: Unable to receive car title or other problem after the loan is paid off

Complaint:
XXXX XXXX XXXX was purchased at XXXX XXXX in XXXX, Maine on XX/XX/XXXX by XXXX and XXXX. Payments have been made on time to Ally Financial in XXXX, XXXX. See attached file. XXXX makes payments over online account through Ally on the XXXX of each month. When logging on to make XXXX payment she was notified that her car loan had been paid in full at the dealership. See attached file. XXXX called Ally several times to confirm there was no mistake and to find out why the loan had been paid in full to which they stated it was paid at the dealership and the title had been sent to that dealership and couldn't release anymore information but, that she would be receiving an over payment check in the mail within 30-40 days and that the title was sent to the dealership. XXXX did not find this odd as she had spoken to an employee in the service dept. earlier that week regarding the motor and the warranty of it because the motor had just blown.They were going to check to see if it was covered under warranty or not. She thought that it must have been covered and that her local dealership had paid it off. She then tried talking to someone at the dealership several times and they were not sure as to what she was talking about and claimed that they had not paid it off and yet, the bank insisted that they had. XXXX went to the dealership where she had bought the XXXX to pick up the title because the bank said they should have received it already. The dealership claimed they knew nothing about yet, they would try to find out where the title was. XXXX XXXX contacted the bank and found out that Ally had signed the title over to a dealership in New Jersey and that they now held the title and they would not disclose any more information about it to XXXX. XXXX went home and logged into her Ally account to make sure it was still paid in full to which it was. Now, Ally realized a mistake had been made and that they had sold XXXX XXXX and XXXX XXXX car and signed over the title to a dealership in New Jersey. Ally had sent them ( dealership in new jersey ) the title to their car. On XX/XX/XXXX, still not hearing anything at all from Ally, XXXX called Ally regarding her car and the loan and they said that they had made a mistake and was going to reverse it and that she had to make a payment before XX/XX/XXXX or they were going to report it to the credit bureau due to a late payment over 30 days. When she had asked to speak with a supervisor or someone higher up they refused. She then asked them about selling the title to another dealership and they only kept stating that she was still accountable for the payments even though the title was now in the possession of a dealership in N.J. They stated that they would just get it back and if they didn't she didn't need to worry and that she was to continue payments or her credit and XXXX 's credit would be affected. So, in short Ally Financial closed our account, sold our car, sent our title to the buyer of the car which is some dealership in N.J without our consent and still has never called us concerning the matter. We have paid thousands of dollars on this vehicle and they sold it to a dealership without our signatures on any documents and now they want to hold us accountable for a car payment which is no longer in contract under us but, was sold to a dealership. They currently still do not have the title and as of XX/XX/XXXX have re-opened the contract without contacting us. We are not going to make any payments on this car as it is currently owned by some dealership in N.J. We have contacted the Attorney General Consumer Protection Agency which informed us that there are regulations concerning title contracts that could have been broken by Ally and that we need to make a report to you.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation