Chrysler Financial has repaid in full the $1.5 billion of Troubled Asset Relief Program (TARP) government loans.

Chrysler initially secured TARP funding in January 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 for its unit.

According to a release from Chrysler, the TARP funds were kept in a separate SPV, and unlike other TARP recipients, those funds were never co-mingled with Chrysler Financial’s operating cash or balance sheet. This, as well as the quality of the assets in the portfolio, offered minimal risk exposure for the U.S. taxpayer during the six-month duration of the TARP loans.

Funds used to make the repayment of TARP were obtained through the completion of a triple-A-rated auto ABS through the Term Asset-Backed Securities Loan Facility (TALF).

The original TARP loan contained provisions that increased Chrysler Financial’s costs over time, motivating the firm to pay off the loan as quickly as possible. Because of this deal, Chrysler Financial will have no further TARP loans outstanding.

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