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Last Day for Cash for Clunkers Program
posted 08/24/09 9:31 am
ABC 7 News - Last Day for Cash for Clunkers Program
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WASHINGTON - It's a race to the finish for dealers and customers alike as the Cash for Clunkers program is set to expire Monday at 8 p.m Eastern time.

Over the weekend, car dealers across the country watched their lots grow empty as crowds rushed to trade in gas guzzlers.

Under the rebate program, dealerships need to enter their Cash for Clunkers sales into a government Web site before the program expires on Monday so they can be reimbursed for the rebates of up to $4,500.

Some dealerships have reported delays accessing the Web site, prompting some to pull out early to buy themselves more time.

Michelle Street bought a new car, but it wasn't a purchase she had been planning. "I wouldn't be here if it were not for the cash for clunkers program."



She is upgrading to a new 2009 Toyota Highlander from a gas guzzling 1997 Ford Explorer. "My car had no air conditioning, it made all kinds of noises, and it just really - it's a clunker."

The value of her old SUV was less than $1,000, but with Cash for Clunkers, she got $4,500. It's a deal that is bringing business to dealerships.

"It blows away any program we've ever had," said Walter Hohnson, Koons Arlington Toyota general manager.

Some dealerships have already stopped taking part in the program. Many more will end the offer before Monday's 8 p.m. Government deadline to avoid delays in reimbursements.

"We'll probably button it up on Sunday. It all really depends on how we feel the government website's taking the information. If it's still clicking along fast, we'll keep on going," said Hohnson.

Some dealerships have complained that the government has been slow in paying them and some customers who like the deal think there are strings attached. "It's good for everybody except the taxpayer they've got to pay for it," said one customer.

Nonetheless, the program, which started last month and got billions in extra funding, is being called a success nationwide. "Oh, no question. It made a difference for me. Absolutely."

The Obama administration has declared Cash for Clunkers a success, saying it has reinvigorated the nation's listless auto industry and taken polluting vehicles off the road.

Much of the data on sales seems to support that, with 489,269 vehicles sold through Friday morning.

Smaller, more fuel efficient vehicles like the Toyota Corolla and Ford Focus are top sellers, while buyers are trading in SUVs like the Ford Explorer to be scrapped.

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Latest Comments on "Last Day for Cash for Clunkers Program"
posted by: Nick_E on 5:55 pm on 08/24/09
SlappyDBooty wrote:
 450,000 clunker deals transpired.  Each deal includes 12 pages of paperwork.Are you suggesting that the forms be processed overnight?

  

Oh NO .... not 12 pages.  What about 1,200 page bills ?  What a macaroon!

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