It shouldn’t come as shock to hear that the automotive industry really requires a jolt of energy in its current state to get the gears spinning again. With overall consumer spending down quite a bit the automotive industry that once thrived during economic times has recently seen and felt its fair share of turmoil. The newly rolled out government program, Cash for Clunkers, has been created by the Obama administration to not only stimulate the automotive industry with new sales and inquiries but also to remove some much less efficient older fuel burning vehicles.
For those who meet the criteria for this program they can acquire some really hefty discounts and rebates on the purchase of a new vehicle. Each vehicle owner will need to show one year’s proof of insurance, proof of registration going back one year and a clean title to even be considered for the government program. Make sure you have all of this taken care of before you go car shopping and spending time test driving new vehicles otherwise you will not qualify. The program has some very strict vehicle requirements as well so it is important to understand all the fine print before you decide to go car shopping. First off your vehicle must be manufactured twenty five years Why Is Manufacturing Important before the date of the trade in. Any older and a vehicle is ineligible for the program. Your current vehicle must also have a MPG rating of 18 MPG or less to the gallon in order to qualify for the cash for clunkers program. The car cannot be towed into a dealership. The car you drive must actually be drivable in order to drive off in a new vehicle. It is also OK to have a salvaged title as long as the vehicle is actually drivable. If you have a vehicle that has a Gross Vehicle Weight Rating (GVWR) of 8500lbs or over your vehicle will be classified as a category three truck and will require to be a 2001 model year or newer vehicle in order to qualify for the program.
There has much speculation regarding the Cash for Clunkers program since President Obama launched this effort. The reality is that it is one of many programs that are needed to really stimulate the economy. This one in particular has encouraged many to go out and purchase vehicles causing a healthy spike in automotive production, sales and an overall positive movement in the auto List Of Manufacturing Business. Any type of movement in the industry right now is encouraging for all dealership owners. This program has allowed many people the ability to save thousands of dollars buying new vehicles. New vehicles that would have never been purchased if this program did not exist are now being purchased hence stimulating sales in the automotive industry.
