August 20th, 2009
05:40 PM ET
5 years ago

Cash for Clunkers shutting down

NEW YORK (CNNMoney.com) - The $3 billion Cash for Clunkers program will end on Monday, the government said Thursday.

Dealers must submit any pending Clunker deals, including any necessary paperwork, by 8 p.m. Monday.

"It's been a thrill to be part of the best economic news story in America," said Treasury Secretary Ray LaHood. "Now we are working toward an
orderly wind down of this very popular program."

Officials decided to wind down the program, which Congress passed to spur flagging auto sales, after determining that it would soon run out of money.

As of Thursday, the program has recorded more than 457,000 dealer transactions worth $1.9 billion in rebates.

Under the Clunkers program, 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.

The program proved wildly popular, running through its initial $1 billion in its first week and leading lawmakers to approve an additional $2 billion in funding on Aug. 7.


Filed under: Cash for Clunkers
soundoff (8 Responses)
  1. Eleanore

    The program was more to help automakers than it was to help the "average person" with less than perfect credit. I am so sick and tired of the automakers who are so "full of themselves" that they act like they are doing you a FAVOR selling you a car. It is just another BILL!!! I wish the government had NEVER helped them! The rest of us just have to keep driving SCUFFLE BUGGIES that we pay outrageous interest rates to get. The auto industry is SICKENING and I know I DESERVE a decent deal on an automobile even with the "less than perfect" credit. Even folks who can't pay their bills pay RENT, utlities and their CAR NOTE if they expect to get to work!

    August 20, 2009 05:44 pm at 5:44 pm |
  2. bozo the obama

    I hope so, it only cost the working taxpayers $3 billion. What's next chancellor.

    August 20, 2009 05:45 pm at 5:45 pm |
  3. Eleanore

    SICK AND TIRED of car commercials too. What are they doing? Just showing people what they do NOT qualify to get? SICK OF IT!

    August 20, 2009 05:46 pm at 5:46 pm |
  4. Just the facts please

    Tells me there was alot of money still floating around out there if it could be spent that fast.

    August 20, 2009 05:48 pm at 5:48 pm |
  5. Kevin B

    How long before the reactionary GOP wing nuts try to spin this program as unsucessful?

    It provided a boost to the auto industry as they emerged from bankruptcy this summer, I think it was a brilliant strategic move to spur sales and now that it has done it's job time to close it down.

    Beautifully executed.

    August 20, 2009 05:48 pm at 5:48 pm |
  6. Kevin B

    The program provided a boost to the auto industry as they emerge from bankruptcy this summer, It was a brilliant strategic move to spur sales and now that it has done it's job time to close it down.

    Beautifully executed team Obama.

    August 20, 2009 05:50 pm at 5:50 pm |
  7. malclave

    I know the Obama Administration has been draggin its feet on making good on the promises (big surprise, huh?).

    What happens to the people who bought cars if the government doesn't pay up in a timely matter? Do their cars get repossessed, or does the dealership have to eat the costs as a penalty for trusting the Democrats?

    August 20, 2009 06:00 pm at 6:00 pm |
  8. Deuce

    Cash for Clunkers? Sounds more like CNN, and their Junkers.

    I told you CNN. But you refuse to listen. There are too-many plastic parts in Auto's of today. You just wait until the back-lash of all those who believed in your good idea. The USA. Along with most of the trading world. Have tens of thousand of Junk Yards. Saturated with spares. You just turned a posible catastophy, into a definate Stupidity...

    August 20, 2009 06:00 pm at 6:00 pm |