Santander Consumer USA Inc. will replace Ally Financial Inc. as Mitsubishi’s preferred finance partner, the closest thing to a captive finance company the automaker has.
“Santander will be a ‘captive-like’ finance partner,” Santander spokeswoman Laurie Kight wrote in an email Friday.
The new arrangement takes effect June 1.
“Santander will be the direct/preferred lending partner, specifically with access to any Mitsubishi Motors subvented programs,” Mitsubishi spokesman Jeremy Barnes wrote in an email Friday.
“Additionally, Santander is able to provide other financial services to our dealer partners as necessary, such as floorplanning.”
Kight said Santander would have exclusivity with regards to Mitsubishi’s incentive programs.
“Ally remains committed to our dealer customers’ success, supporting their businesses in this rapidly changing environment,” an Ally spokesperson said in a statement. She called the independent lender “well positioned to continue supporting Mitsubishi dealers.”
The announcement of Santander’s new relationship comes as another of its automaker partnerships faces an uncertain future.
Stellantis’ Chrysler Capital consumer finance program involves a private-label agreement with Santander. It’s not a true captive finance company, according to Stellantis.
However, Stellantis in November closed a $289 million deal, originally estimated at $285 million, for F1 Holdings Corp. The automaker said it would turn F1 subsidiary First Investors Financial Services Group into a captive finance company and has renamed the business Stellantis Financial Services US Corp.
The Stellantis-Santander arrangement ends April 30, 2023, though a Stellantis spokesman said last year “we are open to a mutually beneficial relationship beyond the term of the existing agreement.”