President Obama signed into law a program NHTSA is calling the Car Allowance Rebate System (CARS or Cash for Clunkers). This is a government program that helps you purchase a new, more fuel efficient vehicle when you trade in a less fuel efficient vehicle. If you are interested in getting more information on this program please fill in the form below.
Requirements
The amount of the credit is $3,500 or $4,500, and generally depends on the type of vehicle you purchase and the difference in fuel economy between the purchased vehicle and the trade-in vehicle. Different requirements apply for work trucks.
Fill out the form on the left if you would like help to determine whether you have an eligible trade in vehicle.
- Your vehicle must be less than 25 years old on the trade-in date
- Your trade-in must be in drivable condition
- Only purchase or lease of new vehicles qualify
- The manufacturer's suggested retail price of the new vehicle cannot exceed $45,000.
- Generally, trade-in vehicles must get 18 or less MPG (some very large pick-up trucks and cargo vans have different requirements)
- Trade-in vehicles must be registered and insured continuously for the full year preceding the trade-in
- You don't need a voucher and you are not required to sign up or enroll in this program. Dealers will apply a credit at purchase
Funding
Redirected recovery funds identified by Obama Administration for this purpose.
Time Line
July, 2009 - November 1, 2009
General Outline of Program
| Vehicle Type | Min. Fuel Economy for New Vehicle | To Receive $3,500 Voucher | To Receive $4,500 Voucher |
| Passenger Car; | 22 mpg* | Mileage improvement of at least 4 mpg | Mileage improvement of at least 10 mpg |
| Light-Duty Truck** | 18 mpg* | Mileage improvement of at least 2 mpg | Mileage improvement of at least 5 mpg |
| Large Light-Duty Trucks*** | 15 mpg* | Mileage improvement of at least 1 mpg or trade-in of a work truck | Mileage improvement of at least 2 |
| Commercial Trucks**** | Trade-in must be at least pre-2002 |
* EPA Combined MPG ** under 6,000 lbs. ***6,000 lbs. - 8,500 lbs. **** 8,500 - 10,000 lbs.
