On the hunt for a home loan? Ally and US Bank are probably on your radar. But who’s really giving you the best bang for your buck? Ally, the tech forward digital option, and US Bank, the tried and true bank, have their own strengths and weaknesses. Here’s the lowdown on how they compare, and why Tomo Mortgage might just blow them out of the water.
Ally: Ally may look like a fresh player, but this bank’s roots run deep—it started as GMAC, the mortgage arm of General Motors. Rebranded in 2009, Ally went all-digital in 2016, focusing on conventional loans with an average loan size of $408K. In 2019, they partnered with Better.com to amp up their tech game, delivering a sleek online mortgage experience. But Ally’s not without its skeletons: a $98 million settlement for discriminatory lending in 2013 and a recent data breach scandal in 2024 show the road hasn’t always been smooth. Digital convenience? Yes. Clean track record? Not so much.
U.S. Bank: U.S. Bank’s been in the game since 1863, offering everything from conventional to FHA and VA loans, an in person experience, plus a solid digital platform for homebuyers. But it hasn’t all been so simple. In 2022, they faced a $37.5 million fine for opening unauthorized accounts, and in 2023, another $21 million penalty for mishandling unemployment benefits during COVID. While they offer a range of mortgage options and first-time homebuyer tools, their past regulatory missteps serve as a reminder to dig deeper when choosing a lender.
Tomo Mortgage: Launched in 2020, Tomo Mortgage is here to shake up the industry. We offer killer rates, zero lender fees, and a process that’s all about making home buying easy and stress-free. Our customer reviews? 4+ starts on every review platform: Consumer Affairs, Google, Bankrate, Zillow, etc. We’re not just a breath of fresh air—we’re a whole new way of doing things.
The breakdown
| Ally | U.S. Bank | Tomo Mortgage | |
| Founded | 1985 | 1863 | 2020 |
| On-time Close Rate | Not Reported | Not reported | 98% |
| Customer Reviews | 1.0 stars on Consumer Affairs | 1.0 stars on Consumer Affairs | 5.0 stars on Consumer Affairs |
| Employee reviews | 3.8 stars | 3.5 stars | 4.1 stars |
How to judge mortgage lenders
- Interest rates: Don’t get fooled by flashy numbers. Always compare the “par rate” with 0 points and check out the APR (Annual Percentage Rate). This is your real cost of borrowing, so get the full picture before signing up.
- Lender fees: Also called “origination fees” or “application and processing fees, in which most lenders tack on thousands. At Tomo Mortgage, we’re lender fee-free, saving you thousands of dollars at closing.
- On-time close rate: This is how often lenders actually close on the promised date. Industry standard? About 40%. But Tomo Mortgage –flexing a 98% on-time close rate, and we’re proud of it. Other lenders don’t even bother to share this info, but it’s a huge deal.
- Pre approvals: While some lenders don’t take the time necessary to prepare a strong pre approval and offer letter, this is critical to making a successful offer on a new home. Tomo Mortgage’s online pre approval only takes 15 minutes, and it includes a soft credit check—but way more reliable when you’re making an offer on a home.
- Customer satisfaction: If you’re finding it tough to trust what lenders are telling you, one of the best ways to gauge their reliability is by looking at reviews from people who were once in your shoes. Did those customers have a smooth experience with the lender? What went right—or wrong?
- Employee reviews: Insights into employee satisfaction can reveal a company’s values and transparency. Unhappy employees often lead to bad overall experiences. (See what their engineers have to say, for example.)
The verdict?
If you value emphasis on conventional loans Ally could be worth considering. They excel with digital lending and know their lane, however their questionable lending practices and low customer satisfaction may be a reason to pause. If you already bank with U.S. Bank, it might feel straightforward to stick with them to get your home loan, and they could be a viable option if an in person lending experience is of value to you.
However, for most people the most important factor is the rate. Here at Tomo Mortgage our rates are typically 0.48 points lower than other lenders, keeping thousands of dollars in our clients pockets.
So, we’re obviously biased, but we’d say don’t choose either. Tomo Mortgage has lower rates, lower fees, and better reviews. It’s a pretty obvious choice.
*sources: Business Insider Mortgage Reviews: Ally, U.S. Bank and HMDA data from 2023
If you’re ready to start your journey to homeownership, get pre approved with Tomo Mortgage today.