Qualifying for 'Cash for Clunkers' program - Spokane, North Idaho News & Weather KHQ.com

Qualifying for 'Cash for Clunkers' program

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WASHINGTON. - If you've been thinking about purchasing a new fuel-efficient car through the government's new 'Cash for Clunkers' program, first you make sure you qualify.

'Cash for Clunkers' is a government rebate of between $3,500 and $4,500 for your old, inefficient car.

Kelley Blue Book, the well known source for new and used car information, is one of a number of companies providing a calculator on it's web site. It takes into consideration your vehicle's make, model, mileage and fuel efficiency rating to determine whether your 'clunker' qualifies.

In June, President Obama signed the new car sales stimulus bill into law. The federal program runs through November or until funds run out.

The program is to start no later than July 24.

Here is some of what is known about the program:

Your trade-in vehicle must

  • have been manufactured less than 25 years before the date you trade it in
  • have a "new" combined city/highway fuel economy of 18 miles per gallon or less
  • be in drivable condition
  • be continuously insured and registered to the same owner for the full year preceding the trade-in
  • The trade-in vehicle must have been manufactured not earlier than 25 years before the date of trade in and, in the case of a category 3 vehicle, must also have been manufactured not later than model year 2001

Heavy duty trucks and vans are applicable but have different rules.

The new vehicle has to meet several requirements as well.

  • It must be a new car either purchased or leased for five years.
  • The car must have a MSRP of $45,000 or less and the car must be rated to get 22 miles per gallon combined. The combined gas mileage is the number in between city and highway on the sticker

You can get $3,500 if your new car gets between 5 and 9 miles per gallon more than your old car, but if you bump that number to ten more than you can get $4,500.

The rebate is not on top of the trade in value because it is the trade in value.

If you use this program your car will not be resold, instead, it will be stripped and crushed.


 

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