Cash for Clunkers

[fg12351]

Is 'Cash for Clunkers' for Chumps? - ABC News

Seems like a way to entice people to buy a new vehicle when they could save ALOT more than $4,500 buying used.

It's going to turn into people buying new vehicles that they get a small discount on that they can't afford anyway. Taking out big 6-7 year loans. I smell a backfire. Maybe I will become a repo man...

Thoughts?

 

[redneck919]

i just seen where it said a clunker is a vehicle that gets less than 18 miles per gallon.LOL so i take it my truck that is 2 years old is a clunker now

 

[henktermaat]

i just seen where it said a clunker is a vehicle that gets less than 18 miles per gallon.LOL so i take it my truck that is 2 years old is a clunker now

In that case, several of my vehicles are "clunkers..."

 

[henktermaat]

Here's how it works: If you own a 1984 or newer vehicle that has been insured and registered to you for the past year and gets a "combined" 18 miles to the gallon or less, you can qualify. The car must also be drivable.

If you trade it in for a car that gets an additional four more miles per gallon or more, your reward is a $3,500 voucher, which can be used toward purchasing a new car.

If you switch to a vehicle that gets 10 miles-per-gallon or more in fuel efficiency, then the government gives you $4,500.

So that means... they have to track you through the purchase of your next car, it's not just a drop-off and go scenario.

 

[glocker1911]

Yet another case of our government being involved in something that shouldn't concern them, and spending more money that they don't have to try and "trick" us into their mindset of wanting efficient, green cars.

 

[wolfman]

i just seen where it said a clunker is a vehicle that gets less than 18 miles per gallon.LOL so i take it my truck that is 2 years old is a clunker now

I thought the guidelines said 18 mpg or lower "rating on the sticker when it was new", not just only gets less than 18 now.

 

[glocker1911]

Yes, they are going off of the EPA milage ratings for the vehicle when it was new.

 

[snorko]

This program alleges to get older "higher polluting" low MPG vehicles off the road. These are the vehicles which are the mainstay of transportation of poorer people. These are the people who can not afford a new car.

Also, there is a possibility of inflation. You take a 1974 buick which has a market value of $1,000 and now it is worth $4,500 trade in?

 

[holejack1]

I have a '96 explorer that would qualify for the $4500 credit. But I like driving it, it's paid for, reliable, low insurance cost and plates, and easy to maintain. Why on earth would I trade that for a car payment and much higher insurance and plates, just to save $20 a month on gas. Ain't no friggin way that's happening.

 

[tenring]

But will you have to pay income tax on the amount of your voucher? Inquiring minds want to know!

 

[Lucas156]

This program makes no sense. Who the hell wants payments anyways? I know for a fact they suck-I have them!

 

[Scarnucci]

I plan on taking advantage of it.

I commute around 400 miles to work each week, and gas in my '95 Jeep Grand Cherokee has always bled me dry. The Jeep has issues and probably isnt worth more than $1000 to anyone. I've seen several dealers offering rebates on top of the $4500 I can expect to get from Obama, so its looking like closer to $6k off the price of whatever we buy. We plan on paying cash for the remainder.

Their plan worked for us. I probably would have driven the Jeep until it quit on me, but with this much incentive we'll buy something new with a waranty.

 

[Vlad the Impaler]

the $4500 I can expect to get from Obama

I thought the incentive money for this was coming in the form of a budget deficit that our grandchildren will be pissed at us for.
If it's coming out of Barry's pocket I might jump on board!

Sarcasm asside. Remeber folks, this free lunch isn't free. And da gubment doesn't produce anything. They take your money for EVERYTHING they do.

We'll be remembering the good ol' days getting cash for our clunker, while being heavily taxed on everything, into retirement with social securtiy dried up..........

 

[eldirector]

Folks might want to check the rules for this program before making the trade.

I for one, don't support this. Mostly for the reasons you all state. Also:
- Your "clunker" must be crushed for you to receive the rebate
- if the .gov runs out of cash for this program, or decides not to honor your "clunker" trade-in, then you must pay back the dealership for the rebate.
- If you get hit paying back the $$$, you can't get your "clunker" back. It has already been crushed!

 

[Scarnucci]

I thought the incentive money for this was coming in the form of a budget deficit that our grandchildren will be pissed at us for.
If it's coming out of Barry's pocket I might jump on board!

Sarcasm asside. Remeber folks, this free lunch isn't free. And da gubment doesn't produce anything. They take your money for EVERYTHING they do.

We'll be remembering the good ol' days getting cash for our clunker, while being heavily taxed on everything, into retirement with social securtiy dried up..........

I agree, our economy is screwed, social security is a fairy tale etc. etc... But the money is already spent so I might as well get my piece of the pie since the politicians have already seen fit to slice it up and hand it out.

I almost feel guilty having just typed that...but I really feel like its a "if you can't beat 'em, join 'em" atmosphere. I truly believe we are headed for an economic collapse. Its time to stock up and hold on to what you can get. My wife is constantly pissed at me because my checking account doesnt grow with more and more fiat. She doesn't believe that our supply of non-perishable food growing from six months to a years worth is a form of savings. Adding to the arsenel is too much fun for me to be a real "savings".

So, If I am able to update my ride amongst the rest of my preps, I'm okay with that.

 

[hornadylnl]

Unless, they changed the guidelines, to qualify for the full $4500, I thought the vehicle had to be a 2000 or newer and have an EPA rating of less than 18 mgp. Isn't the amount of money given on a sliding scale of vehicle age?

 

[Scarnucci]

Unless, they changed the guidelines, to qualify for the full $4500, I thought the vehicle had to be a 2000 or newer and have an EPA rating of less than 18 mgp. Isn't the amount of money given on a sliding scale of vehicle age?

Negative...Its either $3500 or $4500.

$3500 if your 18 MPG or worse car is traded in for a car that gets 4MPG better, or (as I just read) a truck or SUV that gets 2 MPG better...laughable.

$4500 if your newer vehicle gets 10MPG better than your clunker.

As I understand it, age only comes into play as any clunker older than 25 years old is not eligible.


CARS.gov - Car Allowance Rebate System - Home - Formerly Referred to as “Cash for Clunkers” has a FAQ that spells it out better than I can.

 

[hornadylnl]

That's not the same as the original program I saw. I knew it wouldn't work the way I read it. There wouldn't be a 2000 or newer vehicle that got less than 18 mpg only worth $4500 as they would have been full sized trucks or SUVs. Who would take $4500 to crush it when trade in would be more?