Clunkers For Cash Program

Cash for clunkers program was started to help out citizens with older more toxic fuel burning vehicles. Trading in these older vehicles for newer vehicles can help the environment because the newer vehicles emit less emissions harmful to the environment.

In order to receive the maximum of $4500 in the form of a rebate which your auto dealer can apply instantly once the paperwork is true you need to adhere to some of the requirements. This program helps the consumer and it helps the auto industry to get back on its feet from the devastation of the recent financial crisis.

There are requirements that you must adhere to before you get your maximum of $4500 toward your vehicle. Your vehicle must be less than 25 years old when you initiate the trade. The rebate only applies to new vehicle quality type vehicles. You cannot trade in one older used car for a little bit less older a used car. The trade-in vehicle needs to have gotten 18 miles per gallon or less on average.

These trade-in vehicles must be registered and insured for the past year. The program runs through November 1, 2009 or when there is no money left in the kitty set aside for this program. Your dealer will be very helpful in getting all the paperwork done and submitted because it’s a win-win for you and the dealer.

You have to obtain the scrap value of your trade in automobile which will be added to the rebate as your vehicle must be scrapped and not put back on the road. Your dealer can take care of this. Many dealers have complained that they have not gotten answers back after they submitted their applications. Customers are waiting to take delivery of their vehicle but the dealers have not heard back from the government with approval. This is causing frustration for the customer and the dealers.

This program seems to be a good idea on the surface as it helps the automobile industry to get back on its feet from the recent financial crisis. It also helps some people get rid of their gas guzzling big vehicle and traded in for a smaller more efficient vehicle. However, the price of a new vehicle can range from $12,000-$30,000 or more. This means going into debt in an uncertain time. This may not be a good idea for a lot of people especially if your job is not secure. The old days are over and it may be more prudent to keep your older vehicle if it is running well.