GM Buys Subprime Lender for $3.5 Billion

General Motors Co., the 60-percent government owned car giant, is acquiring AmeriCredit Corp. for around $3.5 billion.
Save
GM Buys Subprime Lender for $3.5 Billion
General Motors Company this week announced a major recall of 1.5 million vehicles deemed to contain a fire hazard stemming from faulty windshield-washer components. (Scott Olson/Getty Images)
7/22/2010
Updated:
10/1/2015

<a><img src="https://www.theepochtimes.com/assets/uploads/2015/09/GM98307227.jpg" alt="General Motors Co., the 60-percent government owned car giant, is acquiring AmeriCredit Corp. for around $3.5 billion. (Scott Olson/Getty Images)" title="General Motors Co., the 60-percent government owned car giant, is acquiring AmeriCredit Corp. for around $3.5 billion. (Scott Olson/Getty Images)" width="320" class="size-medium wp-image-1817089"/></a>
General Motors Co., the 60-percent government owned car giant, is acquiring AmeriCredit Corp. for around $3.5 billion. (Scott Olson/Getty Images)
General Motors Co., the 60-percent government owned car giant, is acquiring AmeriCredit Corp. for around $3.5 billion, which would allow the car company to offer more loans and leases to those with poor credit.

“With AmeriCredit providing us niche capabilities in leasing and non-prime financing, along with the continued strong support of Ally Financial and others for prime retail and dealer financing, we’ve set up a very competitive solution for our financing needs,” said GM Vice Chairman and Chief Financial Officer, Chris Liddell, in a statement.

Some analysts are concerned that with the purchase, GM is back to where it was when it owned GMAC before the subprime loan crisis and severe losses led GM to abandon its old finance company.