Cash For Clunkers Turns Into Cars.Gov

Cash For Clunkers Turns Into Cars.Gov


A new website for the controversial, popular program is up and it includes some things you need to know if you’d like to take advantage.

  • 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.

So what are your thought about the program? Will you take advantage of it?

  • Mike A.

    I particularly like how the right is classifying this program as a failure because the government underestimated the demand and ran out of money within one week. Guess the iPhone release was a failure for the same reason. The fact is that even the most astute free market businesses have great difficulty accurately estimating demand for new products.

  • BonnieGlick

    I frankly, think its a great program. It gets the higher polluting gas guzzlers off the road and also gives people a chance to buy new cars that maybe wouldn’t. I won’t be taking advantage of it, however because our current cars get decent mileage. One argument I’ve heard against this program is that after the program is finished, the dealerships will be suffering even more because anyone who wanted to buy a car did so during this program so they (the car dealers) won’t have any business. I’m sure my family isn’t the only one out there who will still be buying a car, just not using this program. The people using this program now probably wouldn’t have bought a car right away if their old clunker still ran. Make sense?

  • kranky kritter

    I think it’s a complete waste of money.

    I’m not “on the right.” Bur I know that it’s not very hard to estimate demand when you are giving away free money, which is what this boils down to.

    I would have hopped on this free money bandwagon myself if I didn’t need my crappy old ford windstar for another 4 to 6 months because I have some hauling to do. I was already planning to replace it with something more fuel efficient, especially since I won’t need the capacity it provided regularly anymore. So had I used the program, the only thing it would have done is given me $4500. Iit would not have affected my purchase.

    And that’s the rub. What percent of car purchasers make such purchases based primarily on whim, as opposed to lifestyle needs. Sure some folks bought bigger just for shits and giggles. But the big gas price scare already cured that. And most people still need to buy based on what they need their vehicle for, especially families.

    I hope that the next time a family of 5 or 6 crammed into a little beatbox gets slaughtered when they slide off a road and hit a tree that folks will connect those dots too.