Stellantis to Dive Into U.S. Lending
The multinational maker of Chrysler, Dodge, Jeep, Ram and multiple other brands received conditional approvals for a Utah-based industrial bank.
Antonio Filosa became Stellantis' CEO last year, charged with turning around the automaker.
Stellantis
Jeep maker Stellantis said it received regulatory approvals to establish a captive financing arm.
Operation of Utah-chartered Stellantis Bank USA is pending conditions, such as regulatory reviews and completion of the bank’s organization plan. Stellantis said the Federal Deposit Insurance Corp. and the Utah Department of Financial Institutions gave their conditional approvals for the industrial bank.
The automaker, which was formed in 2021 from the merger of Fiat Chrysler and the French PSA Group, has been working to turn around its business and replaced its CEO last year with Antonio Filosa.
According to Reuters, Filosa is scheduled to announce a long-term road map this week that prioritizes plans to rekindle its U.S. business. Stellantis named a new U.S. sales head last month.
“We appreciate the engagement and professionalism of the FDIC and UDFI throughout the extensive application and review process,” said Stellantis Bank USA CEO Tommy Moore Jr.
“The establishment of Stellantis Bank USA furthers Stellantis’ objective of putting customers at the center of everything we do by allowing us to offer greater freedom of choice in their vehicle financing as well as support dealers with a variety of products to help grow their business.”
Captive automotive lenders pulled back slightly on credit access in April, reported Cox Automotive, as lenders in the segment sought to balance risk and reward in a market of credit-crunched consumers.
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