Consumer complaint received 2019-01-17
Company: ALLY FINANCIAL INC.
State: OH
Product: Vehicle loan or lease
Sub-product: Lease
Issue: Problems at the end of the loan or lease
Sub-issue: Problem with paying off the loan

Complaint:
My wife had a lease thru ALLY Financial. On XX/XX/2018 a driver struck my wife 's XXXX XXXX XXXX XXXX creating a total loss. The lease was still midway thru a 3 year lease. After the other driver was cited and contacting our insurance company they directed us to contact ALLY to get a payoff amount so we could search for another vehicle promptly. On XX/XX/XXXX I contacted ALLY financial informing them of the accident and requested the amount owed to ALLY for the vehicle so we could tell the insurance company. They provided us an amount of {$26000.00} was owed on the vehicle. XXXX XXXX valued the vehicle at {$30000.00} which would pay {$29000.00} after deductible. This made somewhat sense considering i put over {$3000.00} down on the vehicle on top of taxes and fees and we receive employee pricing with XXXX. We in turn had to immediately purchase another vehicle as once the vehicle is deemed a total loss the rental car is no longer covered. We took the amount ALLY provided us and used the {$3500.00} difference between that and what we would recieve from the insurance company towards another car. This is where myself and the insurance company are dumbfounded as ALLY would not give the insurance company a payoff amount. They said the insurance company must provide them with there payout evaluation so ALLY could provide a payoff amount. XXXX sent them the payoff amount of {$29000.00} and in turn ALLY sent them a letter of guarantee to release the title for the car for {$29000.00}. ALLY very conspicuously said there accounting department valued the car to the penny the same as XXXX 's payoff amount. We contacted ALLY notifying them of the error and this is where the predatory practices get really bad. ALLY transferred us to there total loss department. That department confirmed the payoff amount was {$26000.00} but once the vehicle is deemed a total loss it is there policy to collect the full amount the insurance company is willing to pay. I point blank asked them if the amount i owed them at the time was {$1000.00} would they be requesting the {$29000.00} from the insurance company and to my chagrin the female employee stated yes that is our policy. To be clear while leasing a {$35000.00} car whether you put XXXX dollars down or {$30000.00} down ALLY 's standard practice is not to accept what is owed to them it is to financially XXXX victims of accidents of the entire settlement amount to replace there vehicle. We have contacted ALLY with the insurance company many times and the adjuster is mindblown that ALLY wont give them a payoff amount and will only state they will accept the entire check for the vehicle to provide a letter of guarantee. I believe ALLY FINANCIAL is financially bankrupting, assaulting and taking advantage of consumers in there toughest times thinking these consumers will just take give in. I am more then happy to pay them what is owed which they confirmed on XX/XX/XXXX and XX/XX/XXXX to be {$26000.00} so all parties can move on from this but ALLY now will not discuss the matter with myself, XXXX XXXX or anyone else besides to say we sent a payoff letter and you can pay that. I have instructed my insurance company to put the claim on hold until this matter can be amicably resolved. But these predatory practices needed to be brought to the Consumer Financial Protection Bureau 's attention so that the thousands if not millions of ALLY costumers aren't at risk of this fraudulent activity. I dont know how to pay ALLY and move on from this situation and either does XXXX XXXX. Hopefully this process will alleviate this issue.

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