In Michigan
6:26 pm
Thu May 13, 2010

Chrysler concerned about GM's financing plans

WASHINGTON –

Chrysler is raising concerns about reports that rival General Motors is interested in buying back the auto financing business from the former GMAC Financial Services.

CEO Sergio Marchionne says Chrysler does not want to have an uncompetitive relationship with General Motors when it comes to offering lease and loan deals to consumers.

GMAC, now called Ally Financial, is the preferred lender for both GM and Chrysler.

GM officials are exploring whether to buy back the auto financing business from GMAC or to start their own operations.

GM sold a 51% stake in GMAC in 2006. The new owners had to be bailed out by the federal government, which now owns 56% of the company.

Marchionne spoke to reporters after meeting with Michigan lawmakers.