UPDATE 1-Ford Credit, Chrysler gain CP program access

(Adds Chrysler Financial gaining access to CP program)

DETROIT, Oct 29 (Reuters) - Ford Motor Co's (F.N) finance arm and Chrysler Financial said on Wednesday they can access the U.S. Federal Reserve's new short-term funding facility.

"We have registered for the commercial paper program and it is available for us to use if we choose," Ford Motor credit spokeswoman Meredith Libbey said in a statement.

She declined to provide details pending release of its third-quarter financial results on Nov. 7.

Chrysler Financial, the financing arm of Chrysler, also has applied for and been approved for the commercial paper program, a spokeswoman said.

The Fed earlier this month said it would fund purchases of highly-rated, U.S.-dollar denominated, three-month commercial paper from U.S. issuers.

The facility was announced as a means to boost the availability of credit for companies and households.

GMAC LLC, the auto finance and mortgage company, said on Tuesday it has been granted approval by the Fed to use the commercial paper funding facility.

The captive arms of Detroit automakers, once a good source of profits, have been hit by heavy losses and are now scrambling to conserve cash amid the current credit crisis.

Ford Credit reported a pretax loss of $294 million in the second quarter, compared with a profit of $112 million a year ago. (Reporting by Poornima Gupta and David Bailey; Editing by Brian Moss and Andre Grenon)