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Chrysler Waives Lease Payments to Boost Sales

by Staff
November 20, 2003
2 min to read


The Chrysler group said Nov. 20 that it is offering a new-car and truck sales incentive that waives some remaining lease payments, matching a program General Motors began this month, according to a Reuters report.


The "lease pull-ahead" is the latest incentive offered by Detroit automakers, following weaker-than-expected U.S. sales in October after the car companies pulled back slightly on the offers, Reuters said.

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Chrysler's lease pull-ahead program waives remaining lease payments for customers whose contracts on their Chrysler, Jeep or Dodge vehicles expire before July 3 if they buy or lease a new car or truck, Chrysler spokesman Kevin McCormick said, according to Reuters.


Chrysler also has increased its cash rebate offers on the sale of almost all of its 2003 and 2004 model vehicles by $500, Reuters said.


Both the lease pull-ahead program and the $500 cash rebate include the new Dodge Durango SUV, which went on sale this month, according to Reuters.


Reuters noted that the profit-eating incentive war among automakers has become so heated that Detroit automakers regularly launch vehicles with sales incentives included, or soon after they go on sale.


This week, GM offered to defer monthly payments for 90 days when customers purchase a new 2003 or 2004 model vehicle, Reuters noted. The program, which expires Jan. 2, includes the Hummer H2 SUV, which has been sold largely without customer sales incentives. The Hummer H1, the larger cousin of the H2, is excluded from the sales incentive.

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Also this week, Reuters pointed out, Ford Motor Co. revived a $5-a-day lease offer on base versions of its Ford Mustang coupe. Ford offered the same deal this year on its Mustang and Ford Ranger pickup as a tie-in with its centennial, recalling company founder Henry Ford's decision to raise his factory workers' wages to $5 a day.


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