Ally Financial will become the primary financing source for Mitsubishi in the U.S., replacing the brand’s captive finance unit as the Japan-based automaker tries to get its mojo back.
Broadening an existing relationship, the agreement brings all of Ally’s financial products and services to nearly 380 dealers. Those offerings include retail and lease financing, wholesale financing and aftermarket products.
“Mitsubishi Motors Credit of America will remain in operations for a short overlapping period, but when the transition is complete, Ally will be our preferred financing source,” Mitsubishi spokesman Alex Fedorak tells WardsAuto.
A steering committee with equal representation from Ally and Mitsubishi will monitor the program and its goals and make necessary adjustments, he says. The goal is “selling more vehicles.”
Mitsubishi has struggled in the U.S. in recent years. It sold 77,643 units in 2014, according to WardsAuto data. Ten years ago, it delivered 214,915. It lately has nudged up numbers.
“We are pleased that (Mitsubishi) has chosen to place its trust in Ally to support its retail-sales growth plans and improved customer experience,” says Tim Russi, Ally’s president-Auto Finance. “Ally is committed to the success of our OEM and dealer relationships.”
Mitsubishi has seen five quarters of year-over-year sales increases, says Executive Vice President Don Swearingen.
“We have accomplished this by bringing new models to market and, in large part, thanks to a loyal dealer network that has stayed with us during good times and bad,” he says.
Mitsubishi introduced its redesigned ’16 Outlander at the New York International Auto Show.
“As we pursue our growth plans in this dynamic landscape, we are pleased to have a financial partner like Ally that can support us with the products and services that our dealers need and that will be integral to our success,” Swearingen says.