SOUTHFIELD, Mich. - Chrysler Financial Corp. reported an 80% decline in net income for the third quarter, in part because of increased borrowing costs under a recently concluded revolving credit agreement.

The Chrysler Corp. finance arm earned $45 million, compared with $81 million in the third quarter of 1991. It contributed to the $202 million in net income for the parent company, which showed its second consecutive quarterly profit.

Total finance company assets declined to $23.7 billion from $26.9 billion a year ago. Reductions in credit losses and operating expenses helped offset the impact of higher borrowing costs and fewer assets, said John P. Tierney, chairman of Chrysler Financial.

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