Chrysler Pays Off Government Loans

In total, Chrysler has repaid $6.7 billion in loans and $1.8 million in fees and interest. It is the interest cost that forced the move to pay back the government ahead of schedule. The deal includes Chrysler using alternative credit sources that will have lower rates than what the U.S. Treasury Department was charging on the huge sum of money.

Chrysler’s financial situation is improving under new ownership by Italian automaker Fiat, and without the shadow of massive government intervention — it still holds a small share of the company — looming overhead, it will likely attract more shoppers.

Chrysler Repays Government Loans (Detroit News)
Photo courtesy of Chrysler via Twitter