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Ripping Off The “Cash For Clunkers” Program?

This one… just bugs me. It seems slippery, deceptive, and yet as I understand the rules regarding the “Cash for Clunkers” program, completely legit.

First off, today is the last day of the Cash for Clunkers government program.

NEW YORK ( — Cash for Clunkers is just about at the end of the road.

The government-funded rebate program, popular with consumers, comes to its official completion on Monday.

Dealers have until 8 p.m. ET to file claims for any deals. The government will not extend the deadline for filing claims, the Department of Transportation said Monday morning.

The U.S. Department of Transportation had received 625,000 applications from dealers for Cash for Clunkers vouchers totaling $2.58 billion as of Monday morning, the DOT said.

Under Clunkers, which launched July 27, vehicles purchased after July 1 are eligible for refund vouchers worth $3,500 to $4,500 on traded-in cars with a fuel economy rating of 18 miles per gallon or less.

Car buyers trading in a vehicle must prove that the vehicle has been titled to them for at least a year and, in most states, that the car has been insured for a year. Dealers have to provide copies of that paperwork, among other things, to the National Highway Traffic Safety Administration in order to get their rebates.

The article goes on to discuss NADA’s request for a second extension and that many dealerships have dropped out of the program.

But one dealership in Maine has… well, you’ve gotta read this one! More below…  I gotta admit- it’s a clever twist on “buyer’s remorse.”


So here’s the deal: You swap your clunker, get a car with the government rebate check, then turn around and swap THAT car for one you REALLY want!

Thanks to Uncle Sam, you can get up to $4500 towards whatever gas guzzler you would NOT have been able to get otherwise.

And while pretty scummy, it’s completely legal.

Good job, Honest Barry… you’re making Jolly John even Jollier!

(BTW, we should run a post some quiet weekend of “annoying local ads”- this guy would be MY entry!)

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