Cash for Clunkers?! Sounds a title of a movie; but sadly it’s not. Cash for Clunkers also known as CARS (CAR Allowance Rebate System) is a new program implemented by the U.S Government to help out consumers to avail – purchase or lease – more environment-friendly vehicles when they trade-in a less fuel efficient vehicle. This program aims to “energize the economy; boost auto sales and put safer, cleaner and more fuel-efficient vehicles on the nation’s roadways.” The Government is really pushing this program as $3 billion has already been allotted for its implementation throughout the country. So, how much will a consumer receive from this program? The discount will range from $3500 to $4500. Take note that this is applicable to purchase or lease, as long as the old vehicle is traded in.
This program is open for everyone. However, there are also some requirements that need to be met in order to qualify. For a clearer understanding of CARS here is the Consumer Bill of Rights from cars.gov.
Qualified consumers may participate in the CARS Program between July 1, 2009 and November 1, 2009 or when authorized funds are no longer available.
Qualified consumers will receive a credit of $3,500 or $4,500 for an eligible trade-in toward the purchase of lease of an approved vehicle under CARS Program.
Qualified consumers will receive the $3,500 or $4,500 credit at the time the purchase their new vehicle.
Dealers must provide consumers with any other advertised rebates or discounts in addition to the credit they receive through the CARS Program.
Consumers should expect to conduct their deals at their dealership of choice, not on the Internet.
Consumers should expect the dealers to provide their best estimate of the scrap value for their eligible trade-in vehicle. Dealers are allowed to deduct $50 from this value for their administrative costs.
Consumers should expect that all information collected through the CARS Program will be kept confidential. Social Security numbers are not required for a CARS transaction.
Photo Credit: George’smayblog





