Today the official tally of Cash For Clunkers trade-ins was released. Most of the cars given up to sacrifice to the automotive GOD’s are predictable – but there are a few surprising (newer) models. Some of the more shocking vehicles on the Cash 4 Clunkers trade in list include 2004 & 2005 Chevy Astro Vans, hundreds of El Caminos (bastards! hang them by their thumbs!) and a…ready for this…2008 Dodge Avenger.

Now I know the Avenger isn’t the hottest automobile to come off the CDJ line in years, but I had no idea it fit in the category of tradable cars, with gas mileage, etc. Perhaps it was a sympathy trade for whoever bought one.

In all the C4C .pdf reads like a death list. Thousands of cars were junked in the United States alone – not counting the other countries who participated. In the end, this plan may have helped auto assembly lines for a short time, but did the buyers/dealers involved with C4C really get the best of this government initiated program?

We at Automopedia wouldn’t dare say anything negative towards the US Government, we love ‘Merica!! Umm…but maybe you can give those dealerships, who took in thousands of Clunkers for you, the rest of their money? That’s right, car dealerships across the nation who participated in Cash For Clunkers are still waiting for the rest of their junker funds. Some still expect MILLIONS of dollars to come their way after car trade-ins, but have yet to see all of it.

When Cash for Clunkers was first announced, dealers were supposed to be reimbursed within 10 days of a sale. It may be a little naive to think a dealer would receive millions of dollars up front via Uncle Sam, but look at it this way – if your business was hanging on the promise of monies yet to be deposited you’d be antsy too. The USA has $2.878 billion left to hand out. Looks like it’ll be a light Christmas in the Obama White House.

Thanks peterj! Source: CBS2 News

Update – C4C on life support – Stays Alive until Noon Tuesday! Well, sort of. Dealers have until noon tomorrow to file for reimbursements

Much like Capt. Willard and Colonel Kurtz, car buyer and our government have traveled up river to find a common ground – to save their auto industry, or have it put down. Regardless of the outcome, that journey is over, Cash for Clunkers is coming to an End. How will history books record C4C? Will it be a rousing success for the automotive industry in America? Or a triumphant waste of time for the American People? Some experts are doubting the “Environmental Impact” of C4C, which was one of its main selling points. Others claim it to be the greatest thing to happen since the invention of seat belts. You can’t doubt a big turnout, as this past weekend had dealer lots packed with voucher-waving customers. The Department of Labor is shipping in workers to help relocated junked cars, and thousands of assembly lines across the country have rehired laid-off employees due to new vehicle demand.. And lets face it, if the CARS Act wasn’t successful, would so many other countries be mimicking it?

Canadian Cash For Clunkers

Canada saw it’s version of C4C kick in last week, which offers upwards of (are you ready??) … $300 dollars per trade in. Chrysler Canada has announced they will match and even beat this number if you come pick up a new CDJ vehicle – upwards of $1500 on top of the $300. (source: Canada.com)

Viva La Clunkers! Cash for Clunkers Chile

The government of Chile is currently trying a similar program, in order to “stimulate new truck sales” in the country. Chilean officials agreed to introduce $4 billion Chilean pesos ($7.3 million USD) to subsidize consumers buying new trucks, thus relieving the roads of 500 old ones built before 1984, which produce higher emissions than newer models. Sales of new heavy trucks plummeted 51% in the first seven months of 2009 – hopes are 250 new vehicles will hit the pavement this year and 250 more in 2010. (source: WSJ)

Ich Bein Ein Clunker! C4C in Germany

Clunkers are being taken off the road in Germany as well, but not only thanks to a C4C-type program: thieves are grabbing beaters from German streets and selling them in for cash. Then the cars (approx. 50,000) are shipped out of the country, given another chance to pollute. Some of the vehicle destinations include Africa and Eastern Europe. Maybe Lt. Aldo Raine needs to have a word with these German car thieves. (source: treehugger.com)

As tens-of-thousands of Americans still wait for their Gov’t Endorsed Vouchers, 100,000 more are rolling out of dealerships in a new, or pre-owned, fuel-efficient rides. But, as with any government program, we may have to wait and discover just how successful C4C really was.

This coming Monday Night, August 24th 2009, won’t be just for Football – as Cash for Clunkers, the popular Government “trade your beater in for a fuel-efficient ride” act will come to an end by 8 pm. This is the second time Clunkers announced extinction, but it looks like Uncle Sam won’t be around to pick up the tab again. C4C is S.O.L. again after Gov’t estimations on how much of the $2Billion remaining they need to fill vouchers, those being for customers who traded in their vehicles and have yet to receive any “Cash” – full details can be found in the Detroit News piece below. Good Night, Sweet CARS Act…

The Obama Administration will end the $3 billion “cash for clunkers” program at 8 p.m. Monday — giving dealers and consumers one final weekend to junk a vehicle and buy a new, greener one. U.S. Transportation Secretary Ray LaHood said today the expiration day was determined by using conservative sales estimates, to ensure that there is enough incentive money left in the pot to cover what’s expected to be brisk sales this final weekend. Also late today, Chrysler Group LLC joined General Motors Co. in announcing they will advance funds to dealers who are awaiting payment from the government for clunkers deals.

As of today, the Car Allowance Rebate System, as the program is officially known, has resulted in 457,476 vehicle deals worth $1.91 billion in rebates.

Transportation Department officials estimate about $400 million in vouchers have yet to be submitted by dealers. The department also expects to spend about $100 million on administration costs for the program that began on July 24 and is credited with putting life back into U.S. car and light truck sales. That leaves $600 million for remaining transactions. Dealers have been submitting paperwork for about $100 million, or 20,000 vehicles, a day in recent days. The program has provided rebates of up to $4,500 when people turn in vehicles with a combined city/highway 18 miles per gallon or lower.

Most consumers have turned in trucks and SUVs in exchange for smaller cars, with an improved gas mileage of about 60 percent, the department said. Applications for rebates will not be accepted after 8 p.m. eastern time Monday, and dealers should not make further sales without receiving all the necessary paperwork from their customers, the department said.

The Alliance of Automobile Manufacturers, the trade association that represents General Motors Co., Chrysler Group LLC, Ford Motor Co., Toyota Motor Corp. and seven other automakers, praised the government’s handling of the program.

“Automakers congratulate Congress, the Obama administration and NHTSA for developing and implementing a successful program,” alliance CEO Dave McCurdy said. “In less than six weeks, the CARS program will have generated close to 750,000 new vehicle sales. With an average fuel economy increase of almost 10 mpg, the program has achieved its goals of stimulating the economy, enhancing energy security and reducing greenhouse gas emissions.”

Earlier this month, President Barack Obama signed into law a $2 billion expansion of the program after the first $1 billion ran out in the first days of the program. Congress approved a transfer of unspent funds from the $787 billion stimulus program to refuel the program. The Department of Transportation now has more than 1,200 government and contract employees processing dealer applications for rebates and has added computers at its headquarters as well. The department has processed 167,000 applications through today, but it isn’t clear how many have been paid.

I must have passed at least three dealerships this weekend, all of varying brands, featuring a junked car half-slumped inside a dumpster. It’s become the new hack advertisement by dealerships promoting Cash For Clunkers. When CARS officially started, news websites and blogs were crawling with the iconic image of what appears to be a Chevy or Geo jeep hanging out of the trash:

Now, EVERY dealer who has a rusty, American-made vehicle on their lot parks it on the front lawn with a C4C banner – garbage companies who rent out industrial sized dumpsters must be making a killing off C4C! And though CARS has been a runaway success, it’s a bit sad to see all those USA-produced cars, rust holes and all, hanging out of the trash.

Well friends, it looks as though our greatest fears have been squashed – the CARS Act, which was already in danger of losing funds, will have an extra $2 Billion dollars in its pocket. Keep cashing in those clunkers, because $2B won’t last as long as we all think.

Senate Majority Leader Harry Reid announced the vote after lengthy negotiations between Democratic and Republican lawmakers today. Reid has said Democrats have enough votes to pass the bill, meaning consumers could take advantage of the rebates of up to $4,500 until Labor Day.

If the Senate approves the additional money, it’s likely to lead automakers to increase production and bring back laid-off workers. Many automakers reported low inventories due to increased sales from the program at the end of July. Already Hyundai Motor Co. has added a day of production to its Montgomery, Ala., plant, and Ford is considering increases.

Source: Freep.com

Cash for Clunkers, also known as CARS or C4C, has been so successful that the billion-dollar government program is already out of cash, and might end this Friday. August 7th, 2009 may be the last day for people to cash in their old beater for a $4500 voucher towards a new, fuel efficient auto – unless the Senate OK’s another $2 Billion towards CARS.

Senate officials want to keep the program afloat – but many Republicans are against the move, claiming it was “a model of government inefficiency and out-of-control spending.” According to Miami Herald: Dealers are increasingly worried that they won’t be reimbursed under the program. NADA Chairman John McEleney warned that until further definitive guidance on the availability of funding is provided by the administration, dealers who accept additional clunkers’ deals may face a risk that they will not be reimbursed.”

If you want to trade in your clunker for some cash, better do it now. Today the US Government realized their Billion-dollar give us your old car towards a new one plan is already out of money. According to The Wall Street Journal: “White House officials and lawmakers were studying late Thursday how to keep alive the government’s cash-for-clunkers incentive program because of concerns the program’s $1 billion budget may have been exhausted after just one week.” Guess Uncle Sam didn’t realized how popular the CARS Act would become. And why wouldn’t it? Companies like Chrysler will match your $4500 voucher – giving the buyer almost $10k off a new vehicle. Not bad – so we ask: what cars would you want to see demolished for a C4C trade in? And better yet – what cars would you NOT want to see lost? We have a few that friends have thought about trading in – and we begged them not to!

Don’t Trash Me Bro! – Cars You Wouldn’t Want to See Trashed for Cash

1987 Chevrolet Monte Carlo

A friend asked me recently if their ’87 Monte would be eligible for the CARS program – and even though it’s age and poor gas mileage (it’s a V8 after all) would fit into the CARS Act… I FORBADE it! The Monte Carlo’s may be one of the sexiest coupes to come out of the 80′s. Go to the dump and get parts – never get rid of this beast.

1984 Plymouth Reliant K

The K-Car literally saved Chrysler in the 80′s. You don’t see too many of them on the road today – I mean rust has always been as issue. But we’ve always had a soft spot for the K’s & they can go 150,000 miles – don’t get rid of em!

1990 Mazda 323

One of the last generations of boxy Mazda vehicles – the 323 is a favorite of the hacked-car street racing scene. Like Toyota and Honda, older Mazda vehicles have staying power and can keep you commuting for thousands of miles.

Give Me Cash For This Clunker! – Cars That Should Have Been Trashed Yesterday

Any 1980′s Ford Mustang

The Redneck Porsche – Mustang took a nostalgic trip with their newer Mustang designs, but in the 80′s this was not top priority at Ford. These are not the sexiest vehicles to come from any era – you should grow a mullet if you have one.

Late 1970′s Chevy Nova

An urban legends states that “Nova” translated to “doesn’t go” in Spanish – well, with the 1970′s Chevy models that was proven true. These beaters don’t have the horse power of their 60′s counterparts, but can apparently start in even the coldest of climates.

At this rate, we’ll all be broke by Labor Day! Actually, it’s true – according to Left Lane News, “If people keep trading in their clunkers for cash at this rate, the Government will run out of money by Labor Day.”

With more than 16,000 old cars traded in for $3,500 to $4,500 vouchers so far, the Cash for Clunkers program has been gaining significant ground – and prompting some calls in Congress for additional funding to be added to the program. If current interest levels continue, the funding will be gone by early September, well before the November deadline.

As of earlier today, 16,351 cars and trucks had been purchased under the program, the National Highway Traffic Safety Administration said. There is funding for about 250,000 new car purchases, each of which will qualify for either a $3,500 or $4,500 rebate.

NHTSA says that about $69 million of the $1 billion allocated has been spoken for so far. Interest is expected to decline over time.

Fearing that the funding would run out well before the end of the program, a Michigan congresswoman has sent a letter to congressional leaders asking them to add more funding to the program.

“It appears that these funds could actually run out in a matter of weeks,” Harrison Township, Michigan, Republican Representative Candice Miller wrote.

We get the feeling those Federal EPA “last minute changes” which took place may be only the first of many the Cash For Clunkers Act. In order to keep money flowing for Clunkers the Government may put a smaller cap on how much they’ll dole out for that 93 Mercury Topaz.

Source: Left Lane News

How Do You Get Cash For Your Clunkers?

Been wondering what to do with that 1992 Ford Taurus parked on your mom’s lawn since 2007? The United States Government, in a similar fashion to how they once rationed steel and nylon stockings during WWII, wants your clunker. And Uncle Sam is willing to pay handsomely for it. Or is he?

The CARS Bill (Car Allowance Rebate System or Community Assistance to Recycle and Save Act) better known in media terms as “Cash For Clunkers,” passed through the US House of Representatives June 9th, 2009, became law by the Senate and has now been activated. In an effort to revitalize America’s once great auto industry, and perhaps save some of those blue-collar assembly line jobs, the Act helps consumers by offering a few grand towards the price of a shiny, fuel efficient automobile. Vouchers of anywhere from $2,500 to $4,500 will be traded in for your jalopy, if it meets a vigorous standards of the Federal EPA MPG (Environmental Protection Agency Miles Per Gallon) rating. Such Vouchers on “Green Cars” are good for one year – I mean come on people, we need to get American-Made vehicles back on the road! Our Government Overlords hope CARS will increase new vehicle sales by one million units the first year.

Chart Source: Jalopnik

Seem a little fuzzy? The ‘CARS’ formula works out like one of those AP Algebra problems Math Club kids did “for fun.”

“For Passenger Cars – If you have a passenger automobile not classified as a truck you qualify for a $3,500 credit if you trade in a less efficient vehicle for one with a combined fuel economy value at least 4 MPG higher that costs less than $45,000. The passenger car being trading in has to get 18 MPG or less, meaning you can’t trade in a first generation Prius for a newer one. Additionally, the new vehicle has to get 22 MPG or better. In order to qualify for $4,500 you need to buy a vehicle that gets 10 MPG better combined than your trade-in.”

But is CARS really helping you, the dealerships, the auto makers, or the government…or maybe nobody at all? As with any new law only time will tell whether or not C4C will revitalize our automotive economy. Customers are already hitting up dealers for vouchers – but don’t be taken advantage of – check the numbers first. A little research on sites such as Kelley Blue Book may help you discover that old Toyota is still worth more than $4k. And what about the dealers? At the end of June, Hyundai became the first to advance dealers $4,000 per qualifying CARS trade-in effective immediately. Still, $4500 off of a $35,000 vehicle leaves you with over $30k to pay on your own, even after dealer incentives. Dealerships be aware – those who try getting one over on the buyer, or Uncle Sam, may “face a fine of up to $15,000.”

Still, Cash For Clunkers might help American’s trapped in this recession pump some blood into North America’s automotive industry – and clean up smoggy skies in the process. Can a vehicle averaging 35-40 MPG lead to a less stressful life, more money in your pocket, and ease when commuting to work? It’s a good start.

Sources:
Cash For Clunkers
CARS
Jalopnik
Cash for Clunkers Facts