GM Financial

In July 2010, General Motors entered into a definitive agreement to acquire AmeriCredit in an all-cash transaction valued at approximately $3.5 billion. The deal provided GM with a new financial arm to replace the loss of GMAC (now Ally Financial) in 2006.{{cite news| title=General Motors to Acquire AmeriCredit to Handle Customer Financing| url=https://www.motortrend.com/news/general-motors-to-acquire-americredit-to-handle-customer-financing-8328/| first=Steve| last=Diehlman| date=July 22, 2010| magazine=Motor Trend}} Following the approval of the deal by AmeriCredit shareholders, GM renamed the company "GM Financial" on October 1, 2010.{{cite news| title=Sale of Fort Worth-based AmeriCredit to GM gets OK| url=https://www.dallasnews.com/business/business/2010/09/30/Sale-of-Fort-Worth-based-AmeriCredit-512| agency=Associated Press| newspaper=The Dallas Morning News| date=September 20, 2010| access-date=September 3, 2018}}

On September 4, 2014, GM and GM Financial announced it entered into a support agreement providing for leverage limits and liquidity support to GM Financial if needed, as well as other general terms of support. Under the terms of the agreement, as GM Financial expands its product portfolio and grows its business, GM committed to provide funding to GM Financial if its earning assets leverage ratio rises above pre-determined thresholds. GM extended an intercompany revolving credit facility to GM Financial to provide up to $1 billion of liquidity if needed. This facility, which is subordinate to GM Financial’s senior unsecured and secured debt, will replace an existing $600 million line of credit from GM. The agreement also provides that GM will use its commercially reasonable efforts to ensure that GM Financial will continue to be designated as a subsidiary borrower on up to $4 billion of GM’s corporate revolving line of credit.{{cite press release| title=GM and GM Financial Enter into Support Agreement| date=September 4, 2014| url=https://www.prnewswire.com/news-releases/gm-and-gm-financial-enter-into-support-agreement-273920171.html| publisher=General Motors| via=PR Newswire}}

Since being acquired by GM in 2010, GM Financial has significantly increased its share of GM’s business which now represents 75 percent of GM Financial’s consumer loan and lease originations.

On August 11, 2020, Standard & Poor's Ratings Services revised the credit ratings of both GM and GM Financial to stable from negative and affirmed the automaker's BBB issuer credit rating and issuer level ratings.{{cite news|date=August 12, 2020|title=S&P revises General Motor's outlook to negative on coronavirus pressures|newspaper=S&P Global Market Intelligence|agency=Reuters|url=https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/s-p-revises-general-motor-s-outlook-to-negative-on-coronavirus-pressures-59880640}} On June 18, 2015, Fitch Ratings upgraded the credit ratings of both GM and GM Financial with a stable outlook. The new GM corporate and GM Financial credit rating is BBB−.{{cite news|date=May 5, 2021|title=Fitch Affirms GM and GM Financial's IDRs at 'BBB-'; Outlook Stable|newspaper=|location=|url=https://www.fitchratings.com/research/corporate-finance/fitch-affirms-gm-gm-financial-idrs-at-bbb-outlook-stable-05-05-2021|access-date=}}

General Motors Insurance started its operations in 2021 as a subsidiary and rapidly expanding throughout the United States. GM Insurance hired seasoned executives from Elephant Insurance, Allstate, and Nationwide Insurance.

In April 2011, GM Financial acquired FinanciaLinx, one of the largest independent leasing companies in Canada, to expand product offerings into Canada.{{cite news| title=GM Financial to Acquire FinanciaLinx Corporation|url=http://www.fi-magazine.com/channel/finance/news/story/2011/04/gm-financial-to-acquire-financialinx-corporation.aspx| date=April 4, 2011| magazine=F&I and Showroom| access-date=September 3, 2018}} FinanciaLinx operates as a subsidiary of GM Financial.{{Citation needed|date=February 2020}}

In November 2012, GM Financial announced the acquisition of Ally Financial's international assets.{{cite news| title=GM Financial agrees to buy Ally's international auto-finance business| url=http://www.autonews.com/article/20121121/RETAIL02/121129960/gm-financial-agrees-to-buy-allys-international-auto-finance-business|newspaper=Automotive News| date=November 21, 2012}} The transaction includes operations in Austria, Belgium, Brazil, Chile, Colombia, France, Germany, Greece, Italy, Mexico, the Netherlands, Peru, Portugal, Spain, Sweden, Switzerland and the United Kingdom. It also includes Ally’s 40-percent interest in its Chinese joint venture GMAC-SAIC Motor. The majority of those assets were closed in 2013, with the remaining portion, an equity interest in a joint venture in China, completed January 2, 2015.{{cite press release| title=GM Financial Completes Purchase of International Operations Joint Venture in China from Ally Financial | url=https://www.businesswire.com/news/home/20150105005790/en/GM-Financial-Completes-Purchase-International-Operations-Joint | publisher=Business Wire | date=January 5, 2015}}

In March 2017, the European arm of GM Financial was sold to Groupe PSA and BNP Paribas following the sale of GM's core area businesses Opel and Vauxhall Motors in a $2.2 billion deal.

In November 2020, it was reported that GM Financial has been in discussions with regulators about forming an industrial loan company (which allows ownership of both commercial firms and banks), which would allow it to expand its auto-finance business.{{cite web |url=https://www.wsj.com/articles/gm-plans-to-seek-banking-charter-to-grow-auto-lending-business-11606501125 |title=GM Plans to Seek Banking Charter to Grow Auto-Lending Business |date=November 27, 2020 |publisher=Wall Street Journal|first1=Orla|last1=McCaffrey|first2=Mike|last2=Colias}}

{{Reflist}}

• {{official website}}
• [https://www.gmfinancial.com/en-us/financial-resources.html GM Financial Resources]

{{General Motors}}

{{Automotive industry in the United States}}

Category:Financial services companies of the United States

Category:Financial services companies established in 1992

Category:Companies formerly listed on the New York Stock Exchange

Category:Companies based in Fort Worth, Texas

Category:General Motors subsidiaries