The Industry's Leading Source For F&I, Sales And Technology


Chrysler Financial Won’t Renew $24 Billion Credit Facility

August 04, 2009

FARMINGTON HILLS , Mich. — Chrysler Financial said last Friday it wouldn’t seek a $24 billion credit facility that was set to be renewed yesterday, as officials said the finance company had sufficient funds to continue underwriting auto retail loans.

Company officials said its business and funding needs were greatly reduced when GMAC Financial Services took over as Chrysler’s primary lender during the government’s restructuring of the automaker and its dealer network.

“Consistent with the U.S. government’s decision to name GMAC Financial Services as Chrysler Group LLC’s preferred lender, the level of funding required to support Chrysler Financial’s business is significantly reduced,” the company said in a statement. “While the company has decided not to renew these facilities, it continues to have adequate funding in place to acquire new retail business and meet our current obligations. In addition, Chrysler Financial will continue to service its existing $40 billion portfolio."

Your Comment

Please note that comments may be moderated. 
Leave this field empty:
Your Name:  
Your Email:  



J.D. Power Study Finds Decline in Dealer Satisfaction With Lenders

Industry-wide declines in overall dealer satisfaction with lenders indicate a need for improved service from automotive finance sources, according to the J.D. Power and Associates 2009 Dealer Financing Satisfaction Study.