Consumer complaint received 2025-09-02 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Fees or interest — Problem with fees
Company: ALLY FINANCIAL INC.
State: VA

Complaint narrative:
I am filing this complaint regarding a series of unauthorized, deceptive, and harmful actions related to my credit card account, originally issued by XXXX XXXX and later transitioned to Ally Bank. These actions have caused me financial hardship, confusion, and direct threats to my credit reputation. I believe the practices described below are unfair, deceptive, and possibly unlawful under federal consumer protection laws. 

The problems began when my credit card account was transitioned from XXXX XXXX to Ally Bank without my authorization or consent. I did not receive proper advance notice, and at no point did I agree to have my account transferred or modified. After the transfer, Ally Bank made unauthorized changes to my account, including a credit limit adjustment and an XXXX increase, both of which caused my monthly installment obligations to rise significantly. These changes created financial hardship and made it more difficult for me to keep up with payments, despite my history of making payments on time. 

The most concerning event occurred on XX/XX/year>, when I made an on-time payment of {$190.00} to my account. Despite this payment being valid and timely, Ally Bank reversed the payment without justification. Instead of properly applying my payment, they treated it as if I had missed the payment and proceeded to add : A {$40.00} late fee {$140.00} in interest charges This action not only negated the payment I made, but also doubled the financial burden I am being forced to carry. As a result of these improper adjustments, my account now reflects that I owe {$430.00} by XX/XX/year>. This balance does not accurately reflect my payment history or my contractual obligations. 

In addition to these charges, Ally Bank has sent me threatening letters stating that they will report alleged missed or late payments, along with other defaults, to the credit bureaus. This is alarming because I have complied with my obligations by making my payment on time, yet I am being threatened with damaging credit reporting as if I had failed to pay. These threats jeopardize my credit reputation and appear to be a form of retaliation for my prior complaint regarding the unauthorized account transition. 

As if these issues were not concerning enough, I was also informed that on XX/XX/year>, Ally Bank will be transferring my XXXX XXXX account to XXXXXXXX XXXX. This means that within weeks, my account will be under yet another new issuer, again without my consent. Given the ongoing issues, I do not believe this transition is in my best interest or the interest of other consumers. It is deeply troubling that, after experiencing unauthorized transitions, deceptive fee practices, and threats of negative reporting, I am now being forced into another unwanted account transfer. 

I believe Ally Banks actions violate the Fair Credit Billing Act ( FCBA ), the Truth in Lending Act ( TILA ), and the Fair Credit Reporting Act ( FCRA ), as well as protections against unfair and deceptive practices under the Consumer Financial Protection Act ( CFPA ).

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