Patrick McHenryChairman

WASHINGTON, December 17, 2008 -

Congressman Spencer Bachus, Ranking Member of the House Financial Services Committee, sent the following letter to the Federal Deposit Insurance Corporation (FDIC) requesting the status of the agency’s review of the pending Industrial Loan Company (ILC) applications submitted by Chrysler Financial and Ford Motor Credit.

Ranking Member Bachus stated, “As you know, several foreign automakers, including Toyota and BMW, already own and operate ILCs today, placing the domestic auto industry at a competitive disadvantage in meeting the credit needs of its dealers and customers. While it is important that the FDIC engage in a thorough safety-and-soundness review of the applications filed by Chrysler Financial and Ford Motor Credit, that review should not go on forever.”

During the Financial Services Committee hearing on December 5th, Ranking Member Bachus expressed concern that Chrysler and Ford have not received a response to their long-pending charter applications and are being placed at a disadvantage with some of their competitors that are operating ILCs.

Click here to see a copy of the letter.

###