Get $4,500 for your old clunker? You betcha
SEATTLE -- People with old gas guzzlers are chomping at the bit, waiting to cash in on the new government "Cash for Clunkers" program. And who can blame them?
You can get up to $4,500 for a car you'd normally be lucky to unload for more than $900.
But how do you know if your clunker is the kind of clunker that qualifies for this deal?
Under the plan which is now called the Car Allowance Rebate System -- or "CARS" -- your old car only qualifies as a clunker if it's less than 25 years old, has been continuously owned and insured by the same owner for at least one year leading up to the trade-in, and has a fuel economy rating of no more than 18 miles per gallon; city and highway driving combined.
The feds just launched a new Web site to help you figure it all out -- cars.gov -- that answers your questions and even links you to the official mileage ratings for the different old vehicles. Just find your make and model and click.
The new car you buy in the trade can not cost more than $45,000 and must get at least 22 miles per gallon. That's where the cash credit comes in.
You get a credit of $3,500 if the mileage rating on the new car exceeds that of your clunker by at least 4 miles a gallon. The credit jumps to $4,500 if the new car improves your gas mileage by 10 miles per gallon.
The mileage improvement requirements are lower for trucks and SUVs.
With the market value of most trade-ins coming in at a thousand dollars or less, dealers expect the new incentives to accelerate new cars sales. Ultimately, the plan is expected to get about a quarter of a million gas guzzling, polluting clunkers off the road.
Right now, dealers are still waiting for the government to hammer out details on how they'll dispose of all the trade-ins. All the details should be finalized by the last week in July.
In the meantime, auto manufacturers are getting ready to launch their own websites to answer customer questions.
If you're interest in the program, make sure you only deal with a local dealer, the manufacturer's website, or www.cars.gov
There are already numerous copy-cat websites and scam promoters trying to capitalize on the publicity of the Car Allowance Rebates.
You can get up to $4,500 for a car you'd normally be lucky to unload for more than $900.
But how do you know if your clunker is the kind of clunker that qualifies for this deal?
Under the plan which is now called the Car Allowance Rebate System -- or "CARS" -- your old car only qualifies as a clunker if it's less than 25 years old, has been continuously owned and insured by the same owner for at least one year leading up to the trade-in, and has a fuel economy rating of no more than 18 miles per gallon; city and highway driving combined.
The feds just launched a new Web site to help you figure it all out -- cars.gov -- that answers your questions and even links you to the official mileage ratings for the different old vehicles. Just find your make and model and click.
The new car you buy in the trade can not cost more than $45,000 and must get at least 22 miles per gallon. That's where the cash credit comes in.
You get a credit of $3,500 if the mileage rating on the new car exceeds that of your clunker by at least 4 miles a gallon. The credit jumps to $4,500 if the new car improves your gas mileage by 10 miles per gallon.
The mileage improvement requirements are lower for trucks and SUVs.
With the market value of most trade-ins coming in at a thousand dollars or less, dealers expect the new incentives to accelerate new cars sales. Ultimately, the plan is expected to get about a quarter of a million gas guzzling, polluting clunkers off the road.
Right now, dealers are still waiting for the government to hammer out details on how they'll dispose of all the trade-ins. All the details should be finalized by the last week in July.
In the meantime, auto manufacturers are getting ready to launch their own websites to answer customer questions.
If you're interest in the program, make sure you only deal with a local dealer, the manufacturer's website, or www.cars.gov
There are already numerous copy-cat websites and scam promoters trying to capitalize on the publicity of the Car Allowance Rebates.