GMAC Financial Services has introduced an inventory finance program for Chrysler LLC dealers with stricter requirements than the program that the lender has in place for General Motors dealers.
Chrysler dealers will face a faster repayment schedule on older units in stock, according to a copy of the finance contract obtained by Automotive News.
Chrysler dealers must make monthly payments totaling 10 percent of the original outstanding balance on new vehicles that have been sitting on the dealership lot at least a year. By contrast, GM dealers make monthly payments totaling 10 percent of the original balance on new vehicles that have sat on dealership lots at least 18 months.
And GMAC will finance just 80 percent of the purchase price when Chrysler dealers buy used vehicles at auction, compared with 100 percent for GM dealers.