Chrysler to follow GM's lead, partner with credit unions to offer loans

[Bozita]

Source: Detroit News

Tuesday, December 16, 2008
Chrysler to follow GM's lead, partner with credit unions to offer loans
Alisa Priddle / The Detroit News


Chrysler LLC will announce today that it is following the lead of General Motors Corp. in making credit available to customers in a partnership with a number of credit unions.

Last week, GM announced the "Invest in America" initiative with the Michigan Credit Union League to offer new or current members of 1,200 credit unions access to lower loan rates and about 4.5 percent off manufacturer's suggested retail price. The program made $10 billion in auto loans available to car buyers.

Chrysler will join the program that is designed to help consumers who cannot get credit in today's tightened lending market, and is expanding it from four states to 12. And Chrysler will offer a larger amount up front: a minimum of $500 to $1,000 depending on the vehicle, layered on top of other incentives. GM's bonus cash offer is for $250 in a deal good until Jan. 5.

At GM., the campaign that runs through June 2009 is available in Michigan, Illinois, Indiana and Ohio. GM spokesman John McDonald said the automaker will monitor it before deciding whether to expand nationally.

Read more: http://www.detnews.com/apps/pbcs.dll/article?AID=/20081216/AUTO01/812160428

[w4rma]

1. Fantastic. Go *around* the thieving banks. (nt)

[pjt7]

2. Anybody who cares about freeing up credit, should

be promoting independent credit unions.

They are a great alternative thieving mega-banks.

[Psephos]

3. This is smart. n/t

[JVS]

4. How much of GM's problems are due to their GMAC division?

[Bozita]

5. IIRC, 51% of GMAC is now owned by the folks that own Chrysler

Cerberus

[Waiting For Everyman]

6. This is a great idea.

Now if they offer a great low-end inexpensive car, they've got it made.

[burrowowl]

7. I hope the credit unions don't get screwed

They have been the only responsible ones around.