agent Entrepreneur logo
MenuMENU
SearchSEARCH

Chrysler Dealers to Get Nonprime Loans through Santander Bank

May 18, 2010
2 min to read


DETROIT - Seeking to broaden its customer base and add momentum to U.S. sales gains, Chrysler Group on Monday told dealers that it has reached an agreement with Santander Bank to offer financing to customers who don't qualify for prime loans, reported Automotive News. The agreement, with Santander Consumer USA Inc., takes effect Thursday. The bank, the U.S. arm of the Spanish banking giant Banco Santander, will extend loans to customers with nonprime credit scores of 650 or lower. Chrysler is subsidizing the arrangement, although officials of the automaker declined to specify the size or nature of the investment. Chrysler officials said 22 percent of Chrysler customers currently fall into the credit range Santander will cover. Said Kathy Graham, a Chrysler spokeswoman: “Santander specializes in this credit market. They know how to finance it. They don't do prime lending. They have plenty of money. There is not a liquidity issue.” Chrysler said it could add 2,000 sales per month as a result of the new arrangement. About 50 percent of Chrysler dealers already use Santander for used-car financing. Santander can offer loans at a 30 percent savings compared with other lenders, possibly saving customers as much as $3,000 over the life of the loan, Chrysler officials said. Santander was sending its 110 area representatives out to talk with Chrysler dealers this week. Chrysler dealers who don't already use Santander for used-car financing will be sent applications through the DealerTrack communications system. The agreement does not affect Chrysler's relationship with GMAC Financial Services, the bank holding company that acts as Chrysler's captive finance arm. Chrysler sold 329,918 light vehicles in the United States through April, a 2 percent gain over the same four months of 2009. Overall U.S. sales rose 17 percent over the same period. In April, Chrysler sales rose 25 percent, compared with an overall market gain of 20 percent.

More Industry

Photo of two men in suit jackets shaking hands next to new car inside of a dealership
IndustryApril 23, 2026

A New Consumer Culture in the Auto Dealership

Dealers should aim to build a positive work environment, helping employees execute an efficient experience, from their online research to the final delivery of the vehicle.

Read More →
Closeup of the side of an Audi car
Industryby Hannah MitchellApril 23, 2026

New-Vehicle Sales Down

A cloudy April forecast was expected due to last April’s sales surge in anticipation of U.S. trade tariff-inflated prices. Meanwhile, automakers pumped up incentives to address today’s consumer wallet woes.

Read More →
Photo of Cadillac Lyriq SUV on road with partly cloudy sky in background
Industryby Hannah MitchellApril 16, 2026

Used Autos Selling for More

A recent price spike due to several larger market forces, though it hasn’t dulled demand, is pushing more consumers to efficient models to squeeze in buys.

Read More →
Ad Loading...
Photo of facade of Waldorf Toyota car dealership
Industryby Hannah MitchellApril 16, 2026

Maryland Auto Group Sells

A group out West picked up the major D.C.-area collection, putting it in the upper tiers of private automotive groups in the U.S.

Read More →
Line graphic showing Cox Automotive's March Credit Availability Index status
Industryby Hannah MitchellApril 13, 2026

Auto Lending Opens Up in March

Lenders loosened access for subprime borrowers, and consumers with negative equity reached a record high, Cox Automotive reported.

Read More →
electric vehicle next to an urban charging station. EV Demand Diverges. F&I and Showroom logo
Industryby Lauren LawrenceApril 10, 2026

EV Interest Varies Regionally

U.S. consumer interest in electric vehicles lags behind other countries despite the rising gas prices caused by the ongoing war in the Middle East.

Read More →
Ad Loading...
Photo of the rear of a Mercedes GLC 400 electric SUV with a skyline in the background
Industryby Hannah MitchellApril 10, 2026

Brands Weighed on Projected Recalls

Research reveals the brands and models most likely to have higher recall rates over their lifetimes. While some brands rank high, addressing safety issues can be a selling point.

Read More →
Photo of white 2026 Ford Bronco on a sandy beach
Industryby Hannah MitchellApril 10, 2026

March New-Vehicle Sales Don’t Reflect War

Cox Automotive data shows Americans doubled down on big-is-better despite price increases. Slightly higher incentives helped fuel the demand.

Read More →
Photo of several cars on lifts in a service center
Industryby Hannah MitchellApril 9, 2026

Franchised Dealers Stand to Gain Service Business

Cox Automotive research shows both the opportunities and the challenges in turning consumers’ growing affordability needs into increased fixed-operations revenue.

Read More →
Ad Loading...
Photo of office desk with open laptop on it and an empty chair next to it
IndustryApril 9, 2026

What Matters Most in Building Your Agency

The partner you choose for growth and expansion is key, because better is the ultimate goal instead of growth for growth’s sake.

Read More →