agent Entrepreneur logo
MenuMENU
SearchSEARCH

GM Financial Not Looking to Replace GMAC

February 15, 2011
3 min to read


GM Financial’s rollout of a prime leasing program in 16 states may seem to indicate that the company formerly known as AmeriCredit is leaving its roots behind. Company officials, however, maintain that the former subprime finance company is merely sticking with the game plan General Motors set forth when it purchased the company last October: fill the finance gaps.


Since successfully piloting a new GM prime lease program in Ohio last December, the company has expanded the lease offering into 15 additional states — with eight states added last week. The goal now is to expand the program nationwide by this summer.

Ad Loading...


“We have been, historically, a subprime retail installment lender,” said Caitlin DeYoung, spokesperson for GM Financial. “When we were acquired by GM, the purpose was to fill in the financing gaps. Our main focus was to get a leasing program out and prime leasing was the first priority.”


Aside from Ohio, the prime lease program is now available in Connecticut, Delaware, Indiana, Kentucky, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, Vermont, Virginia and West Virginia. reported F&I and Showroom.


Officials said the company also is eyeing a return to the Canadian market by the middle of the year or sooner, and has rehired Howard Cobham, its former Canadian auto finance executive, to lead that effort. His first order of business will be to roll out the prime leasing program in that market.


DeYoung said the company also is considering an expansion of its lease offerings to customers downstream on the credit spectrum. The company spokeswoman said that won’t happen until the prime program is rolled out nationally.


As for retail installment contracts, DeYoung said originations will outpace what AmeriCredit did last year, but would not offer a target increase. She added that although GM Financial is being positioned to help GM dealers, the former independent finance company will continue to serve non-GM dealers under the AmeriCredit banner.

Ad Loading...


“We are building out different products for GM dealers, but we have not stated what our target is on originations. It’ll definitely be an increase from the prior year,” DeYoung said. “Our current infrastructure is not built to take on 80 percent of GM’s business and we’re not looking to do that. What we are looking to do is provide a competitive financing option for GM dealers.”


The two top executives for GM Financial, Dan Berce, and Ally Financial Inc., Tim Russi, underscored this goal earlier this month in San Francisco at the American Financial Services Association’s 2011 Vehicle Finance Conference and Exposition, when they appeared together for the event’s annual CEO panel.


Russi talked about the benefits of Ally’s bank-holding status, saying that the company has been able to diversify its sources of funding. He also talked about the company’s recent successes in the securitization market, and acknowledged that the company must continue to mend dealer relationships that were strained during the downturn.


Berce described to the packed audience how AmeriCredit went from the brink of collapse in the spring of 2008 to survival in early 2009. And after describing the moment he learned GM was interested in purchasing the company, he fielded a question from the audience on whether his company and Ally Financial could coexist.


“GM bought us not to be the new GMAC; they bought us to plug the gaps,” Berce responded. “They bought us to bring back leasing.”

More Industry

Two dodge cars outside of dealership.
Industryby Lauren LawrenceSeptember 17, 2026

Auto Affordability Inches Up

The latest Cox Automotive and Moody’s Analytics index shows a slight increase in new-vehicle affordability despite high prices.

Read More →
Five men smiling for photo in front of Honda car dealership.
Industryby Lauren LawrenceSeptember 10, 2026

Ohio Auto Group Under New Ownership

After 79 years with the Schluter family, Mansfield Auto Group has been acquired by Missouri-based Clement Auto Group.

Read More →
Blue and white RV parked on beach facing the ocean.
Industryby Lauren LawrenceSeptember 3, 2026

RV Group Expands Carolina Footprint

Blue Compass RV Columbia Northeast is the 13th RV dealership owned by Blue Compass in the Carolinas.

Read More →
Ad Loading...
Photo of two men and one woman on a discussion panel
Industryby Hannah MitchellSeptember 1, 2026

Agent Acumen

An Agent Summit panel of people who’ve been supporting auto dealers for years gave both timely and timeless advice for those starting out or mulling the prospect.

Read More →
Gloved hand holding two wrenches next to “Turn Overdue into Opportunity” Graphic
Industryby Lauren LawrenceAugust 27, 2026

Missed Maintenance Creates Opportunity

As families get back on the road and into daily school routines, service drives have an opportunity to capture customers who are behind on recommended vehicle maintenance.

Read More →
Mitsubishi shadow line-up
Industryby Hannah MitchellAugust 25, 2026

Mitsubishi Unveils U.S. Plan

The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.

Read More →
Ad Loading...
Photo of a laptop, cellphone and eyeglasses on a desk next to an office window
IndustryAugust 24, 2026

Selling to Grow

The question of whether you should sell your agency and if so, when, is up to you. But it’s a question worth asking to ensure you keep the business on the right path for yourself, employees and clients.

Read More →
Mechanic holding a vehicle diagnostic device while standing above an open car hood
Industryby Hannah MitchellAugust 24, 2026

Recalled Vehicles Hit 5-Year High

Though the number of events has fallen so far this year, impacted units are up significantly. Meanwhile, regulators consider consumer notification changes.

Read More →
outside of car dealership with cars parked in front
Industryby Lauren LawrenceAugust 20, 2026

Auto Group Acquires Top-Performing Rooftop

Car Pros sold its Kia Huntington Beach location to Sutherlin Automotive Group, marking the buyer’s third location in Southern California.

Read More →
Ad Loading...
Cars from the rear on a Shanghai freeway
Industryby Hannah MitchellAugust 19, 2026

China as Pacesetter

Automotive leaders huddled on where North America stands in the global picture and how it can strengthen its position against the Asian juggernaut’s surging industry.

Read More →
Ad Loading...