Determining Cash for Clunkers Eligible Vehicles

The U.S. government began the Cash for Clunkers program last Monday. It allows consumers to receive a bonus rebate for their old car. It is redeemable to buy a new vehicle. If your old car is eligible for the program, then you you basically get a new car much cheaper by redeeming your bonus rebate.

Meet some interesting aspects of the general program. See if your old vehicle is eligible for Cash for Clunkers program

First let's look at the models. Cars and trucks must have been built in 1984 be newer than that. They should get no more than 18 miles per gallon in combined city and highway driving.

In regard to the process, you need to have right documentation with you when going to the eligible dealership for your vehicle trade. The owners must submit at the dealership the vehicle title, proof of registration and proof of car insurance.

This is what discounts the Cash for Clunkers eligible vehicles will get. The discount range between $3,500 to $4500. Buyers who purchase a vehicle that gets between 4 and 9 more mpg than the vehicle they are turning in will get a $3,500 discount off the purchase of the new vehicle. A vehicle that gets 10 mpg or more than the clunker qualifies the buyer for the full $4,500 discount.

Discounts on trucks work in the following way. To be eligible for Cash for Clunkers the light tracks must get at least 18 MPG.

Now what will become even more interesting is the competition between the car makers. They know that Cash for Clunkers program will bring new buyers into new car market. They will naturally compete to get a bigger chunk of this action and expect them to add to the government incentives for buying new cars.

In fact, Toyota is offering its own incentive. It is similar to Cash For Clunkers. Toyota.com says you on its website that buyers "can get up to $4,500 plus factory incentives, toward your choice of 25 available models in the Toyota family." It's interesting to see what Honda, Ford or GM may come up with.

Cash for Clunkers may have initiated one of the best times in the past and current history for buying new cars if you have the eligible vehicles for the program. This will help the car makers, the economy and the environment.

Written by Armen Hareyan