How to Find Accurate Cash for Clunkers Information

The Cash for Clunkers program or Cash Allowance Rebate was an economic incentive program which was given a go ahead by the US Congress in 2009 to accelerate the process of fuel saving throughout the country by providing their citizens a chance to trade their old cars with new ones.  The program was an instant success, helping the car industry immensely and serving the purpose after a reported increase of 60 percent in fuel efficiency was recorded.

Instructions

  • 1

    Personal Criteria

    A person must hold a U.S nationality and provide personal verification such as driver’s license and proof of insurance and possession of the vehicle for at least a year. Moreover, only one vehicle can be purchased per person with the amount spreading between $3500 and $4500, which will be estimated according to the fuel efficiency levels after comparing the old car with the new.

  • 2

    New Vehicle

    The new vehicle must give 22 mpg, i.e. 4 mpg more than the traded car. The buying or retail price must not exceed $45,000, before accounting for certain add-ons, charges and taxes. This program only considers cars and trucks as possible trade-in vehicles, with motorcycles and scooters not eligible.

    Moreover, only new cars can be issued as replacements and purchased by dealers who are registered with the National Highway Transportation Safety Administration and have a current agreement with the manufacturers. The latter notion therefore not only excludes used-car dealers but those new ones who had lost their franchises.

    Apart from domestic vehicles, one can further purchase or lease foreign vehicles. For lease qualification, the time frame must be at least five years.

  • 3

    Old Vehicle

    Apart from the factors mentioned in step 1, you must have a clear title i.e. any liens must be cleared before you go to the dealer. The car must be a 1984 model or later. Any models from before that will not meet the requirement.

    As the main aim of the program was to improve the overall fuel efficiency of cars on the roads, your car must be in a drivable condition, even though it will be scrapped afterwards.  It will not be a wise move to trade your vehicle if its value is higher or equal to that offered by the program.

  • 4

    Beware of scams

    In order to get authentic information and stay away from scams, only one official site was created, the NHTSA’s CAR.gov. However, one cannot apply or register on the website.

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