What is “Cash for Clunkers”?
We’ve seen a lot of activity lately on Yahoo! Answers and the Forum related to the new “Cash for Clunkers” program. Community members want to know how it works and what the time frame is for taking advantage of the available funds.
The Consumer Assistance to Recycle and Save Act of 2009 was signed by President Obama on June 29. The program it outlines is officially called the Car Allowance Rebate System (CARS) and is designed to help consumers pay for a new, more fuel-efficient car or truck. To qualify for the rebate, you must work with a participating dealer and purchase a new car that is more fuel-efficient than the old one you’re trading in.
The rules are still being determined, but the program should roll out by July 24 and will end November 1, 2009, or whenever the funds run out-whichever comes first. So if you think you’d like to take advantage of this opportunity, you probably shouldn’t wait too long once the program kicks off.
In the meantime, here are some qualifications to keep in mind:
Your trade-in vehicle must have a “new” combined city/highway fuel economy of 18 mpg or less, be in drivable condition, and have been continuously insured and registered to the same owner for the full year preceding the trade-in. It must also have been manufactured less than 25 years before the trade-in date.
Top Contributor Shelby‘s Best Answer offers more in-depth information and step-by-step instructions–check it out here.
Shelby points out that this program is designed to benefit:
*Consumers – provides something tangible and useful in this economic environment
*The economy – supports the automotive industry which plays an important role in the overall health of our economy
*The environment – allows us to get greener faster
*New vehicle dealers – provides a tremendous opportunity to reach out to a huge base of customers
For the most current information, visit the official government site at www.cars.gov. For the official (new) fuel economy ratings, visit www.fueleconomy.gov.
We’d like to send a special shout-out to Shelby for taking the time to provide such a detailed and informative answer to a topic that so many of our community members have been asking about.
Do you have a gas-guzzler that qualifies for this program? Is the rebate enough of an incentive to get you seriously thinking about trading it in? Leave us a comment and let us know what you think of CARS, aka “Cash for Clunkers.” 
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