Business

Q&A: What do I need to know to cash in my car?

By Jeffry Scott
Aug 7, 2009

Q: Are dealers who stopped taking part in Cash for Clunkers back in now that more federal funding has been approved?

A: Yes. Steve Rayman’s dealership group and Ellis Automotive started making Clunker deals again after Congress voted to add another $2 billion to the Cash for Clunkers fund. President Obama signed the measure Friday.

Q: What do I need to bring to the dealer?

A: The Clunkers program requires proof of full-year insurance and registration. Only cars that get 18 miles a gallon or worse gas mileage are eligible Clunkers. Many vehicles come in a several engine sizes, so be aware of yours. A 6-cylinder model may get more miles per gallon than the same model with an 8-cylinder engine that gets 18 miles per gallon.

Q: Will I be able to haggle for lower prices if lots more customers are lured by the Clunkers program?

A: You can always haggle, but you’re apt to be so eager to make a Clunker deal you won’t drive a hard bargain. Consumer Reports advises on it Cash for Clunkers blog that you focus not on the Clunker cash deal, but on new car price and haggle over that.

“It will help you to focus on negotiating that new-car price, without having the numbers blurred together,” the blog says. “It would be a tragedy to just claim the credit and drive off, thereby leaving thousands on the table. After all, old-car owner, you are frugal.”

Q: Where can I get more information?

A: To find out if your car qualifies, check fueleconomy.gov. More details on the clunker program can be found at Cars.gov. Consumer Reports also has a site devoted to Clunkers: http://www.consumerreports.org/cro/cars/new-cars/resource-center/cash-for-clunkers/index.htm

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Jeffry Scott

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