Last year, it was reported that Chrysler’s contract with Ally Financial would be ending in April 2013, and there was speculation as to who Chrysler would choose to take over their in-house financing. While nothing has been finalized yet, it is looking very likely that Chrysler will be partnering with Banco Santander to manage their in-house financing.
According to the Wall Street Journal, sources who have been part of the discussions say that a deal could be solidified by the end of January or early February. Wells Fargo, GE, U.S. Bancorp, and JPMorgan Chase were also supposedly considered to take over for Ally Financial, but it is possible that Chrysler favored Santander having worked with them previously on sub-prime auto loans
Prior to their partnership with Ally Financial, Chrysler handled their financing through Chrysler Financial. As part of their agreement with the U.S. government, though, Chrysler partnered with Ally Financial and ended Chrysler Financial.
This is great news for Chrysler Jeep Dodge Ram dealerships looking to boost their special finance department. As mentioned above, Chrysler worked with Santander on sub-prime auto loans, and considering that there were more sub-prime auto loans in 2012 and lower delinquency rates for those loans, it looks like a Chrysler partnership with Banco Santander would be advantageous to dealerships and car buyers alike.
Are you looking to boost your special finance department in 2013? Contact Special Finance Group today, and learn more about their Complete Special Finance Solution. You can also connect with Special Finance Group on Facebook, Twitter, and LinkedIn.