Chrysler Financial repays $1.5B TARP loan

[Snoman]

David Shepardson / Detroit News Washington Bureau
Washington -- Chrysler Financial said today it has repaid in full the $1.5 billion in government loans from the Troubled Asset Relief Program it received in January, swapping them for loans from another lower-cost government loan program.
Chrysler Financial became the first financial institution to repay the federal government under the Treasury Department's $700 billion Wall Street rescue fund. It used a new $1.26 billion loan from the Term Asset-Backed Securities Loan Facility or TALF, to repay the original loan. Chrysler Financial completed a AAA-rated automotive asset-backed securitization.
"The original TARP loan contained provisions that increased Chrysler Financial's costs over time, providing motivation for the company to pay off the loan as quickly as possible," Chrysler Financial said in a statement.
The company originally secured TARP funding in January of this year to support Chrysler LLC in its efforts to remain viable. Chrysler Financial used the TARP loans to fund more than 85,000 consumer loans to support the sale of Chrysler, Jeep and Dodge vehicles.
Chrysler Financial's TARP funds were kept in a separate special purpose account, and unlike other TARP recipients, those funds were never co-mingled with Chrysler Financial's operating cash or balance sheet, the company said. Chrysler Financial currently has more than 2 million vehicle loans in its portfolio and a total work force of more than 3,900, and it supports a global portfolio of nearly $45 billion.


Just more Smoke and mirror sh!t by the current rulers of our country, Rob Peter and pay Paul WTF :smflame:

[Dreamcast18]

Just more Smoke and mirror sh!t by the current rulers of our country, Rob Peter and pay Paul WTF :smflame:


yeeee-ap...maybe they should take a loan from Goldman Sachs

[Krzy Kat]

Really .... I mean what incentive do they even have to pay that money back on a timely basis?

[Dixie Cat]

Just more Smoke and mirror sh!t by the current rulers of our country, Rob Peter and pay Paul WTF :smflame:


Exactly!! :mad:

yeeee-ap...maybe they should take a loan from Goldman Sachs

or contact a Madoff:lol:

Really .... I mean what incentive do they even have to pay that money back on a timely basis?

Exactly!! :tu:

[kat hunter]

Illinois is planning on doing the same thing, borrowing up to 3.5 billion to cover a 9 billion shortfall. Then they plan on using the 3.5 billion for the current year expenses. WTF does that do for next years budget? :smflame::smflame::smflame:


And as far as I know they did not issue paychecks due today for past work by employees!!! :smflame::smflame:

[Snoman]

Illinois is planning on doing the same thing, borrowing up to 3.5 billion to cover a 9 billion shortfall. Then they plan on using the 3.5 billion for the current year expenses. WTF does that do for next years budget? :smflame::smflame::smflame:


And as far as I know they did not issue paychecks due today for past work by employees!!! :smflame::smflame:



So are you saying you may be outa work :eek:

[Dreamcast18]

Illinois is planning on doing the same thing, borrowing up to 3.5 billion to cover a 9 billion shortfall. Then they plan on using the 3.5 billion for the current year expenses. WTF does that do for next years budget? :smflame::smflame::smflame:


And as far as I know they did not issue paychecks due today for past work by employees!!! :smflame::smflame:

is IL doing IOUs like CA too? if so..i'm definitely setting up the IOUexchange.com (cash ur IOUs here!)

[kat hunter]

So are you saying you may be outa work :eek:


Still have a job, just don't get paid for going in.:smflame::smflame::smflame:

Might be time to just stay home and collect everything obama has promised to everyone!! :icon_twisted::icon_twisted::icon_twisted:

[AC-INXS]

Might be time to just stay home and collect everything obama has promised to everyone!!

Like that's going to happen.......................

BO's promises were spoon-fed BS,,,to see how many gullible people would believe him and vote his way.

[Snoman]

Like that's going to happen.......................

BO's promises were spoon-fed BS,,,to see how many gullible people would believe him and vote his way.


I think they may finding that out now :rll::rll::rll:

[kat hunter]

Yea right:smflame:


Fifteen days into the state’s new budget year, Illinois lawmakers Wednesday night finally cobbled together a new $26 billion spending plan that relies heavily on borrowed money and on Gov. Pat Quinn to spend it wisely.

The deal keeps the doors of state government open and will allow state workers to be paid. Quinn signed the payroll part of the budget into law Wednesday night.

“This budget tonight is the best we can do to get our work done,” Quinn said.

At the same time, the new budget will force state vendors to wait even longer to be paid for their services. Many state employees are still expected to lose their jobs, and human service agencies will still experience cuts, budget negotiators said.

Taxes were not increased, but lawmakers bemoaned the fact that the budget keeps the state in a precarious financial situation.

“We are not acting prudently here,” said Rep. Jack Franks, D-Marengo. “We are on the brink of a manmade disaster.”

Not everyone saw it as a disaster waiting to happen, though.

“It does avoid a meltdown,” said Senate Minority Leader Christine Radogno, R-Lemont. “More importantly, it avoids a tax increase.”

“At this late hour and this time, in the absence of having new revenues come in, this is the best we can do,” said Sen. Donne Trotter, D-Chicago. “All of us agreed that the last bill was one of the worst budget bills we’ve (ever) passed. This one isn’t much better, but it is certainly better.”

Senate President John Cullerton, D-Chicago, said the deal is based on $6.7 billion worth of borrowing -- $3.5 billion by issuing bonds to make the state’s pension payments and $3.2 billion by letting state bills pile up unpaid.

The House previously approved borrowing about $2.3 billion for pensions, but the amount was increased to allow for more spending on other state programs.

http://www.sj-r.com/news/x135755750/Bleak-new-budget-relies-on-borrowing-layoffs-payment-delays?view=print

So, to plug a 9 billion budget hole we borrow 6.7 billion. 3.5 from a bond issue and
3.2 billion from venders that already wait 6 months or more to be paid. The fiscal train wreck is happening in slow motion in both the state and the country. :smflame::smflame::smflame:

[attyedhall]

Like that's going to happen.......................

BO's promises were spoon-fed BS,,,to see how many gullible people would believe him and vote his way.


nothing new there.. the reason politicians do that is because it works.. remember Bill Clinton's montra was "a middle income tax cut"... 90 days into office though he determined it wasnt necessary....


Obama is no fool... just promise the moon.. deliver whatever.......he is spending us into oblivion... and yet not very many seem to be onto him......really sad....

[KATBIRD]

Illinois is planning on doing the same thing, borrowing up to 3.5 billion to cover a 9 billion shortfall. Then they plan on using the 3.5 billion for the current year expenses. WTF does that do for next years budget? :smflame::smflame::smflame:


And as far as I know they did not issue paychecks due today for past work by employees!!! :smflame::smflame:

i wonder if the welfare and food stamps went out on time :nono::nono:

[kat hunter]

i wonder if the welfare and food stamps went out on time :nono::nono:

not sure, but I was under the impression that they did.