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Ally Financial Inc. is the digital financial services company behind Ally Bank. Ally Bank was founded in 1919 and its headquarters is in Detroit, Michigan. Ally Financial Inc. is one of the top 25 U.S. financial holding companies that offer financial products to businesses, consumers, corporate clients, and automotive dealers. It should come as no surprise that Ally Bank Auto Loan is one of the nation’s top contenders in the business.
The selection of products ranges from banking and credit cards to investing, home loans, and auto loans. Here, we are going to dive into Ally Bank’s auto loans.
Ally Bank Auto Loan Overview
Ally Bank offers auto financing to consumers through participating dealers. It currently serves 18,000 dealers and more than 4 million of their U.S. customers. While you can’t go directly to Ally to get a loan, you can look on their website to find a participating dealer near you. Then, you can apply through the dealer.
Ally Bank Auto Loan: Financing Options
Individual consumers can use Ally to finance vehicles they want to buy. However, both new and used vehicles can be no more than 10 model years old with no more than 120,000 miles at inception. Also to note, products are available for both prime and non-prime credit, and terms go up to 75 months.
Ally also offers a SmartLease program. It has an easy return policy, automatic GAP protection, straightforward wear guidelines, and flexible terms. Further, Ally Pre-Owned SmartLease enables you to lease a used car that has a clean history report, is fewer than four model years old, and has less than 75,000 miles. Another detail to note is that other restrictions apply regarding eligible makes and models. At the end of your lease, you can buy the car, return it, or extend the lease.
Note: In addition to buying or leasing personal vehicles, Ally also has loan products for businesses and RVs.
Ally Auto Lease Buyout Option
After your lease is up, you have three options which are to purchase the vehicle, returning the vehicle or request for a longer period of time.
How to Purchase a Lease
The process is straightforward. First, check your lease agreement for your specific terms and the purchase option price you’ll need to pay to buy the vehicle. Then, give Ally Financial a call to let them know your decision. Also, remember to schedule an appointment with your dealer to finalize your purchase.
If you have any dues left on the vehicle, remember to pay the purchase option price plus any excess fees. For example, you may have incurred applicable taxes, fees and other unpaid amounts. If you need to finance this amount, ask your dealer if you qualify for Ally financing. This option provides complete ownership and no restraints on mileage or wear.
Returning the Vehicle
There are several things you should check before returning your lease. So, before returning your lease, Ally Financial will look at the mileage of the vehicle, excess wear, and perform an inspection.
First, you’ll want to check to see if you went over your allowed mileage on the lease agreement.
Here’s how Ally Financial calculates the potential charge:
Number of Excess Miles x Per Mile Charge (within Lease Agreement) = Potential Excess Mileage Charge
Your vehicle’s condition may result in potential excess wear charges or charges for missing parts you may owe when you return your vehicle. As you near the end of your contract, Ally Financial will mail you a Wear Square to check for excess wear and damages that may have incurred during the duration of your lease.
Ally Financial will either hire a third party or a dealership to inspect your vehicle within 5 days of returning your vehicle. Also, they will provide an inspection report for you to see what the third party or the dealership finds. Furthermore, you can also pay for an independent inspection if this clause is in your lease agreement.
Request for more time
If you need more time to decide, you may send a secure message from Ally Auto Online Services or give customer service a call to discuss further options.
Ally Bank Auto Loan: Features
Ally Bank’s objective is to make auto loans easy and flexible. So, with ease and flexibility in mind, Ally Bank auto loan offers the following:
- Automatic payments: You can set up automatic payments from a checking account, so you don’t have to worry about making your payment manually.
- Online account management: Manage your account online from a desktop computer. For example, you can check payment history, balance, and statements whenever you want.
- Ally Auto Mobile Pay App: With the mobile app, you can manage your account from anywhere on your smartphone or tablet.
- Ally Buyer’s Choice: This program gives you the option to sell your car to Ally on the “Special Prepayment Date.” The date will either be 48 or 60 months into your contract. Also, you will get a predetermined price minus any excess mileage or wear. If you decline, you will keep your car and continue normally with your payments until the end of the loan term. This option is available in all states except Nevada.
- Ally Balloon Advantage: A payment option that lowers your monthly fixed payment in exchange for adding a lump sum payment (balloon) at the end of the contract. Another note is that this option is available for GM, Chrysler, and Mitsubishi vehicles, and pre-owned vehicles up to four model years old that are not Suzuki or Saab. Further, it’s available in all states except for Nevada, New Hampshire, North Carolina, Maryland, and Pennsylvania.
These features help to set Ally apart from its competition. Also to note, Ally also offers additional auto financing products besides auto loans. Read more about Ally’s financing products here.
Ally Bank Auto Loan: Vehicle Protection Options
Another feature that Ally Bank offers is their vehicle protection packages. Ally offers several options and has an assessment you can take to identify which will be best for you. Here’s a quick overview:
- Ally Premier Protection: Three levels of coverage are available, from basic to comprehensive. On Ally’s website, you can see which parts of the car each plan covers. Due to the levels of coverage, the cost will vary depending on your driving habits and the plan you choose.
- Guaranteed Asset Protection (GAP): This coverage protects you in the case where you may have to deal with a total loss. Due to this option, it will cover the difference between what your insurance pays for the car and the full amount of your outstanding debt.
- SmartLease Protect: This coverage will cover any charges for excess mileage or wear at the end of a lease.
- Other protection products: Other coverage options available include protection against dents, theft, tire and wheel damage, and fabric, leather, and paint damage.
Ally Bank Auto Loan: Customer Service
You can reach customer service by calling the Ally financial phone number for auto loans at 1-888-925-2559, or by logging in to a chat on the Ally Bank website. Call center hours from Monday to Friday start at 8 a.m. and go to 11 p.m. ET, on Saturday they start at 9 a.m. and go to 7 p.m. ET, and on Sunday they are closed.
Unfortunately, many Ally financial reviews from customers report less than stellar experiences. One past customer says, “I tried calling Ally Bank to check into an auto refinance, and I keep getting transferred to India where they keep asking for my account number, and then they transfer me to someone to take an application which transfers right back to customer service for who asks for my account number. I’ve been through this loop three times.”
Clearlane by Ally
If you are looking to refinance with Ally Financial, you will be redirected to Clearlane. Clearlane is a broker powered by Ally Financial that connects borrowers with a wide network of auto refinance providers.
Ally Financial: Apply for an Auto Loan
To apply with Ally Bank, you will need to visit its website, select the “Auto” drop-down menu, and click “Find a dealer near you.”
On the next page, you will be able to enter your address and the vehicle brand you want.
Then, you can select the dealer you want and click “Get Directions.”
You will get turn-by-turn directions to the dealership.
Lastly, you can head over to the dealer and let them know you want to apply for financing with Ally Bank.
Is an Ally Bank auto loan right for you?
Ally Bank claims to offer competitive rates and has helpful features on its auto loans. Also, it has a comprehensive lineup of protection products. Even more, the downsides for consumers are that the company has a reputation for less-than-stellar customer service, and it does not lend directly to you. Due to the latter, this means you can’t find out what kind of deal you can get without going to the dealer and working with them.
With many online lenders allowing you to apply online and get an answer in just a few minutes (without leaving your couch), driving to a dealer is a huge drawback. However, if you don’t mind, head in and see what you can get. But remember to shop around as well so you can see how Ally’s quote stacks up to the competition.
To learn more about Ally Bank auto loans, click here.