Cash For Clunkers

[Drakkon]

http://online.wsj.com/article/...tml?mod=googlenews_wsj

Under the House bill, car owners could get a voucher worth $3,500 if they traded in a vehicle getting 18 miles per gallon or less for one getting at least 22 miles per gallon. The value of the voucher would grow to $4,500 if the mileage of the new car is 10 mpg higher than the old vehicle. The miles per gallon figures are listed on the window sticker.

Owners of sport-utility vehicles, pickup trucks or minivans that get 18 mpg or less could receive a voucher for $3,500 if their new truck or SUV is at least 2 mpg higher than their old vehicle. The voucher would increase to $4,500 if the mileage of the new truck or SUV is at least 5 mpg higher than the older vehicle. Consumers could also receive vouchers for leased vehicles.

Seems like an okay concept, although my question is - whats to stop me from going to the paper, finding someone selling a truck cheap - then going into the dealer to get the $4500 voucher to buy a car?

 

[OCGuy]

Im glad we as a country have this kind of $$ to throw around.

 

[bctbct]

Originally posted by: OCguy
Im glad we as a country have this kind of $$ to throw around.

gov't probably recoups half that in sales tax and personal property tax the 1st year. Some states are exempt of course.

 

[boomerang]

Originally posted by: Drakkon
http://online.wsj.com/article/...tml?mod=googlenews_wsj

Under the House bill, car owners could get a voucher worth $3,500 if they traded in a vehicle getting 18 miles per gallon or less for one getting at least 22 miles per gallon. The value of the voucher would grow to $4,500 if the mileage of the new car is 10 mpg higher than the old vehicle. The miles per gallon figures are listed on the window sticker.

Owners of sport-utility vehicles, pickup trucks or minivans that get 18 mpg or less could receive a voucher for $3,500 if their new truck or SUV is at least 2 mpg higher than their old vehicle. The voucher would increase to $4,500 if the mileage of the new truck or SUV is at least 5 mpg higher than the older vehicle. Consumers could also receive vouchers for leased vehicles.

Seems like an okay concept, although my question is - whats to stop me from going to the paper, finding someone selling a truck cheap - then going into the dealer to get the $4500 voucher to buy a car?

I don't know the true answer to your question, but there's every possibility that the 'cheap truck' you just referred to just went up dramatically in value. In other words, you need to find a seller who's ignorant of this program.

Edit: And what OCguy said.

 

[TruePaige]

Originally posted by: Drakkon
http://online.wsj.com/article/...tml?mod=googlenews_wsj

Under the House bill, car owners could get a voucher worth $3,500 if they traded in a vehicle getting 18 miles per gallon or less for one getting at least 22 miles per gallon. The value of the voucher would grow to $4,500 if the mileage of the new car is 10 mpg higher than the old vehicle. The miles per gallon figures are listed on the window sticker.

Owners of sport-utility vehicles, pickup trucks or minivans that get 18 mpg or less could receive a voucher for $3,500 if their new truck or SUV is at least 2 mpg higher than their old vehicle. The voucher would increase to $4,500 if the mileage of the new truck or SUV is at least 5 mpg higher than the older vehicle. Consumers could also receive vouchers for leased vehicles.

Seems like an okay concept, although my question is - whats to stop me from going to the paper, finding someone selling a truck cheap - then going into the dealer to get the $4500 voucher to buy a car?

Because you have to buy a new car, costing much more than the old one so you'd eventually run out of spare cash to buy new cars. You can't flip these vehicles for much of a profit if any, because of immediate depreciation. Also I didn't review the whole bill but I'm sure there is a limit (even the DTV coupons had limits).

 

[Budmantom]

Originally posted by: bctbct

Originally posted by: OCguy
Im glad we as a country have this kind of $$ to throw around.

gov't probably recoups half that in sales tax and personal property tax the 1st year. Some states are exempt of course.

And what it doesn't recoup it prints, so basically.... the government is saving(you) or creating(for you) money.

 

[MovingTarget]

And owners of classic Detroit iron and/or Malaise-era steel cringe in unison.... Some of us consider cars as something more than an appliance. The 'cash for clunkers' program I can agree with, but only for cars that are in bad mechanical/structural shape should be considered. If it is still sound, then it should be rebuilt, imho, and given/sold to an owner that can appreciate it.

 

[techs]

"America imports too much oil"!

"Here's an idea to do something about it"!

"Hell no"!



Gotta love the irony.
Or not.

 

[WhipperSnapper]

I liked the bill better when any older vehicles were eligible and not just gas guzzlers. Looks like my wife's old Oldsmobile Achieva that's falling apart in the parking lot really is just about worthless now. I had been hoping to get a $5000 voucher for it and then trade in a Saturn for a new vehicle under one of the scrapped proposals. Guess I'll just have to get rid of the old hunk of junk now.

 

[Wreckem]

.

 

[Jaskalas]

Originally posted by: techs
"America imports too much oil"!

"Here's an idea to do something about it"!

"Hell no"!



Gotta love the irony.
Or not.

Oh, I get the idea now. A bankrupt third world nation doesn't use as much oil. Good plan, just hope you don't plan on living here when it comes to fruition.

 

[StageLeft]

It is nice to live in a country so rich it can do this without even batting an eyelid, just pulling it from the surplus the government runs.

Is the purpose of this for green or to reduce oil dependence? Because $4500 buys an awful lot of carbon credits. And $4500 buys an awful damn lot of raw oil, too, if we look at a 18 vs a 28 mph vehicle. Other than another area in which to destroy the balance sheet of the US this year, is there another point to this?

 

[Mojoed]

The following is a quote from THIS article.

...cars that have not been insured for the past year... ...are not eligible to be traded in for vouchers.

Can anyone clarify this statement? I bought a 1997 Jeep Grand Cherokee a few weeks ago and it's now insured and driven daily by me.

It was also insured and driven daily by the previous owners. But does this count as "being insured for the past year?" even though ownership has changed? Will I only be able to get the voucher if I personally owned and insured it for the past year?

 

[IGBT]

I can get 4500.00 for my trashed out 92 dakota?? that I've owned for 14 years?

 

[PottedMeat]

My dad traded in his '88 corolla ( I think the blue book value was ~$500 or something ) for a $3500 voucher.

http://www.tceq.state.tx.us/im...ce/vim/driveclean.html

 

[RU482]

Originally posted by: Mojoed
The following is a quote from THIS article.

...cars that have not been insured for the past year... ...are not eligible to be traded in for vouchers.

Can anyone clarify this statement? I bought a 1997 Jeep Grand Cherokee a few weeks ago and it's now insured and driven daily by me.

It was also insured and driven daily by the previous owners. But does this count as "being insured for the past year?" even though ownership has changed? Will I only be able to get the voucher if I personally owned and insured it for the past year?

it's been a few weeks, but the last time I read about the cash for clunkers (on edmunds.com, iirc) you had to OWN the car for at least 1 year prior.

 

[Andrew1990]

Originally posted by: RU482

Originally posted by: Mojoed
The following is a quote from THIS article.

...cars that have not been insured for the past year... ...are not eligible to be traded in for vouchers.

Can anyone clarify this statement? I bought a 1997 Jeep Grand Cherokee a few weeks ago and it's now insured and driven daily by me.

It was also insured and driven daily by the previous owners. But does this count as "being insured for the past year?" even though ownership has changed? Will I only be able to get the voucher if I personally owned and insured it for the past year?

it's been a few weeks, but the last time I read about the cash for clunkers (on edmunds.com, iirc) you had to OWN the car for at least 1 year prior.

I hope it is owned and not insured. My Van hasnt been insured as it has been just sitting. 🙁

 

[rudder]

Originally posted by: OCguy
Im glad we as a country have this kind of $$ to throw around.

well it's my grandchildren's money so who is counting. They will have to pay it back, I will be dead... but I will get $4500 for my $1000 truck!

 

[lokiju]

Yea, free money!

 

[TheSlamma]

So will this go for all manufactures? (I refuse to buy GM and Chrysler)

Will this be stack able? can I get $4000 for my trade in.. then $4500 for the voucher then $1300 for the clean diesel tax credit? or the Hybrid tax credit?

 

[Robor]

Edit: Nevermind... I wouldn't have qualified.

 

[TheSlamma]

Originally posted by: Robor
Crap... I traded my VW 6 months ago and my new Saturn gets better mileage. :-/

Your VW would have had to get a combined 18mpg or worse.. was it really that bad?

Edit, he neverminded 😛

 

[StageLeft]

Originally posted by: PottedMeat
My dad traded in his '88 corolla ( I think the blue book value was ~$500 or something ) for a $3500 voucher.

http://www.tceq.state.tx.us/im...ce/vim/driveclean.html

Wow nothing there about mileage. Free money.

 

[RyanPaulShaffer]

The potential for abuse with this program is extremely high.

Wonderful idea...I'm glad we have all kinds of surpluses lying around to pay for these hackneyed ideas.

 

[StageLeft]

Originally posted by: RyanPaulShaffer
The potential for abuse with this program is extremely high.

Wonderful idea...I'm glad we have all kinds of surpluses lying around to pay for these hackneyed ideas.

It is high. I already thought about how to play it when I first heard about it. Ultimately I can't be bothered, though.