Friday, July 24, 2009

Car Allowance Rebate System: Cash For Clunkers

Today as I was heading to the Dr I had to go through several small towns and it seemed like every where I looked were huge signs at car dealerships.

These signs all read "Cash for Clunkers"

My daughter Emeri even noted that so many sad that and thought the saying was kind of funny.

So apparently I have been living under a rock since I almost never watch commercials and had not heard of this government rebate system. Tonight however as I laid here watching 20/20 I had to watch commercials. Every commercial break I am hearing "Cash for Clunkers". So of course I had to check it out.

I found that this is a Government Car Allowance Rebate where consumers who take advantage of this program can receive a $3,500 or $4,500 discount from the car dealer when they trade in their old vehicle and purchase or lease a new one.

Here are the specific requirements for this program per

* Your vehicle must be less than 25 years old on the trade-in date
* Only purchase or lease of new vehicles qualify
* Generally, trade-in vehicles must get 18 or less MPG (some very large pick-up trucks and cargo vans have different requirements)
* Trade-in vehicles must be registered and insured continuously for the full year preceding the trade-in
* You don't need a voucher, dealers will apply a credit at purchase
* Program runs through Nov 1, 2009 or when the funds are exhausted, whichever comes first.
* The program requires the scrapping of your eligible trade-in vehicle, and that the dealer disclose to you an estimate of the scrap value of your trade-in. The scrap value, however minimal, will be in addition to the rebate, and not in place of the rebate.

My car does not qualify but if you believe yours does and need some more information be sure to follow the link to