04-13-2012, 10:49 AM | #16 | |
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In retrospect, I used the term "portfolio" incorrectly. Here's the excerpt from the news report that caught my attention: In the fourth quarter, 6% of Ally's business came from Chrysler loans governed by its contract with the automaker but provides other loans to Chrysler buyers through business beyond its deal with the company.Based on the above statement I'm guessing the 6% only represents retail contracts where Chrysler is subventing the finance rate as part of an incentive. |
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04-26-2012, 01:15 PM | #17 |
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In case you all missed the news Chrysler announced they will not renew with Ally giving them their 1 year opt out notice. Wonder how that will affect balance of term financing, especially ABC program and how will they handle dealer floorplan?
Can't get the article to cut and paste correctly. I read it on allpar.com today. |
04-27-2012, 11:29 AM | #18 | ||
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While I'll concede I was wrong in my bet above, I still believe that Ally will be split up and their automotive operations will be sold to General Motors. As I understand it, the pact with Ally that ends in April, 2013 only pertains to the requirement that Chrysler finance a minimum percentage of vehicles with Ally using subvented interest rates. The rest of Chrysler's relationship with Ally, including Dealer Floorplans, remains intact and is not affected by this change. |
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04-27-2012, 11:35 AM | #19 |
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Grady's letter to the Chrysler Dealers regarding Ally
I received a copy of Grady's letter to the Chrysler Dealers explaining that Chrysler's decision to let the current “Auto Finance Operating Agreement” expire April 30, 2013 will not impact the Dealers' other agreements that are in place with Ally.
In my opinion finding another lender to handle Chrysler's subvented loans should be an easy task. The larger issue is what happens if Ally is split up and the automotive operations are sold to General Motors? |
11-15-2012, 06:11 AM | #20 |
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