What is “Cash For Clunkers” or Officially Known as “Car Allowance Rebate System”?
The Car Allowance Rebate System is a program from the government that will help you pay for a new, more fuel efficient car or truck from a participating dealer when you trade in a less fuel efficient car or truck. The program was temporarily during 2009.
1. Are You Qualified for the “Cash For Clunkers” Program?
- 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, participating dealers will apply a credit at purchase
2. How Much Rebate Can You Get?
The amount of the credit is $3,500 or $4,500, and generally depends on the type of vehicle you purchase and the difference in fuel economy between the purchased vehicle and the trade-in vehicle. Different requirements apply for work trucks.
3. When Will The Program Be Effective?
On June 24th, 2009, a Bill was signed into Law.
In July, program implementation was started.
On November 1, 2009, the Cash for Clunker Program Ended.
So there is a 4 month window to take advantage of this opportunity. To make sure you don’t miss out, we recommend you simply submit your Trade-in Information to put yourself on the front seat to reserve your spot. There are 1000’s already signed up. Don’t delay.
4. How to Take Advantage of This Rebate Program, and How to Find Participating Dealers?
“Trade-in For Rebate Form“, your current car’s information will be forwarded to a participating dealer in your area. A registered dealer in your area will contact you as soon as possible so that you don’t lose the chance to qualify for the Rebate.
New Car to trade for(You will further receive big discount, on top of the government Rebate, from the participating dealers) Be sure to choose a car less than $45,000 as that’s the maximum price the Cash For Clunkers Program allow for.
After finishing the above two steps, you were SAFE to take your share of the $4 Billion government package. Some car dealers chose to offer similar programs to stimulate car sales buy doubling Car Trade-In Values. Over time this increased the value of used cars, causing new car values to depreciate faster.