It Had to Happen: Car Dealers Create Shadow Cash for Clunkers Program
Car dealers know a good environmental policy gimmick when they see one. Some 60 dealers (so far) have banded together to launch a new official-looking program that offers consumers between $500 and $4,500 of “incentives” for their used or . . . wait for it . . . new car. Welcome to autostimulusplan.com world! Automotive News [sub] tries (and fails) to adopt a suitably cynical tone for the story. “The dealer program is less restrictive than the government’s. For example, it allows shorter leases than the 60-month minimum required by the clunkers plan, and there’s no limit on the price of the new vehicle; the government program sets a $45,000 cap. A qualifying trade-in must be a 2006 model or older and must have been owned by and registered to the same person for six months. The dealer program requires a buyer to purchase a replacement vehicle with 2 mpg better fuel economy.” Or, you know, maybe not (nudge nudge, wink wink). You want fine print? They got fine print!
The rebate is a maximum of $4,500, based on a credit above the average trade-in value set by three guides: Kelley Blue Book, Black Book and the NADA Official Used Car Guide. Any replacement vehicle that gets 2 mpg or better is eligible for a 10 percent trade-in bonus; a replacement vehicle that gets 5 mpg or better is eligible for a 20 percent incentive above the trade-in value.
Program details will vary depending on state regulations, says Sean Wolfington, co-founder of Level 5 Advertising [creators of the pump-top TV network Fuel Zone Network] in Dulles, Va., which created the campaign and Web site.
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Oh, come on now. One of the longest running scams used by dealers is the: "Drive it! Tow it! Push it! $3000 GAURANTEED trade-in on your car, running or not". Now it's "Would we lie to you? The government says it's OK."
I love cars, but I sure do hate buying them with scum bags like this and their fine print. Yes I know, their out to provide great service to the under served. Think that if you want.
There is an extra space in the url for the autostimulusplan site.
Shane, it might be on purpose. RF may not want to officially link to them; I'll check with him.