Consumer complaint received 2025-12-08 00:00:00
Product: Vehicle loan or lease — Loan
Issue: Repossession — Voluntary repossession
Company: ALLY FINANCIAL INC.
State: ID

Complaint narrative:
On XX/XX/XXXX, Ally Financial sent me a letter titled " REVISED How We Calculated Your Surplus or Deficiency '' for account ending in XXXX. This letter stated : " However, you do not have to pay the remaining amount of {$9000.00} '' and listed " Amount of the deficiency that you must pay : {$0.00}. '' When a creditor forgives or cancels debt over {$600.00}, federal law requires them to issue IRS Form XXXX ( Cancellation of Debt ) to both the consumer and the IRS. This is mandatory tax reporting because forgiven debt is considered taxable income. 

I have never received Form XXXX from Ally Financial for the {$9000.00} in forgiven debt. 

CRITICAL ISSUE : ALLY IS SUBMITTING IDENTICAL RESPONSES TO DIFFERENT COMPLAINTS Ally has now responded to my last XXXX separate CFPB complaints ( filed XX/XX/XXXX and XX/XX/XXXX ) with THE EXACT SAME PDF response dated XX/XX/XXXX. Both responses contain identical language stating " Our position remains unchanged '' without addressing the specific issues raised. 

This is not a reasonable investigation as required by law. Ally is copying and pasting the same dismissal to multiple complaints rather than actually investigating the mathematical impossibility of their position. 

I request CFPB reject identical form letter responses and require Ally to address specific questions in each complaint. 

THE CORE FRAUD This is like being pulled over for speeding but the police report says you robbed a bank. Yes, I defaultedbut Ally reports I caused them a {$19000.00} loss when their actual loss was only {$9000.00}, which they waived. I'm being punished for bank robbery when I only committed a traffic violation. 

It's similar to how the criminal justice system sometimes inflates chargestwo people commit the same crime, but XXXX is charged with a misdemeanor while the other faces a felony simply because the system inflates the charge. That's what Ally is doing to my financial record : inflating my offense from {$9000.00} to {$19000.00}. 

The missing XXXX proves XXXX of XXXX violations : XXXX. Ally never actually forgave the debt despite their written statement, making the XX/XX/XXXX letter fraudulent, OR XXXX. Ally forgave the debt but failed to issue the required IRS Form XXXX, which is tax fraud Additionally, despite stating I owe {$0.00} since XX/XX/XXXX, Ally continues reporting a {$19000.00} charge-off to all credit bureaus. In their XX/XX/XXXX CFPB response, they admitted they are " furnishing your account as paid and charged off '' with the {$19000.00} balance. 

THE MATHEMATICAL IMPOSSIBILITY Ally claims all XX/XX/XXXX are true : - Their actual loss was {$9000.00} ( per XX/XX/XXXX calculation ) - They forgave that {$9000.00} ( per XX/XX/XXXX letter ) - They're accurately reporting {$19000.00} ( per XX/XX/XXXX response ) These can not all be true. Either they're lying about the sale price, lying about the forgiveness, or lying about what they report to credit bureaus. The missing XXXX proves at least XXXX of these is fraud. 

SPECIFIC QUESTIONS ALLY MUST ANSWER XXXX. If you forgave {$9000.00} in debt, where is the IRS Form XXXX as required by federal law? 
XXXX. Did you file Form XXXX with the IRS but fail to send me a copy? 
XXXX. If no XXXX exists, does that mean you never actually forgave the debt despite your XX/XX/XXXX letter? 
XXXX. How can you report {$19000.00} to credit bureaus when your actual loss was {$9000.00}? 
XXXX. Why do you continue sending identical form letter responses to separate complaints instead of addressing these mathematical impossibilities? 

REAL HARM FOR XXXX YEARS Since XX/XX/XXXX ( XXXX days ), Ally 's false {$19000.00} reporting has caused : - Housing denial in XXXXXX/XX/XXXX XXXX landlord cited the inflated charge-off ) - Multiple rental application denials- Employment rejections due to credit checks - Denied reasonable credit terms- My family forced into unstable housing All because Ally tells everyone I caused {$20000.00} in losses when their actual loss was less than {$9000.00} and was waived. 

REQUEST FOR CFPB ACTION XXXX. Reject Ally 's identical form letter responses as inadequate investigation XXXX. Require Ally to answer the XXXX specific questions above XXXX. Investigate why no XXXX was issued for {$9000.00} forgiven debt XXXX. Verify with IRS whether Ally filed Form XXXX XXXX. Investigate why Ally reports {$19000.00} when actual loss was {$9000.00} XXXX. Require immediate correction of false credit reporting XXXX. Impose penalties for XXXX years of willful false reporting I accept responsibility for my default, but I will not accept being branded as causing {$20000.00} in losses when the actual amount was less than half that and was waived. The missing XXXX proves this is fraud, not a reporting error. 

Ally must provide proof of XXXX filing or admit they never actually forgave the debt as their XX/XX/XXXX letter claims.

Company response to consumer: Closed with explanation