The drama is over, folks. Cash For Clunkers, also known as the Car Allowance Rebate System or CARS, will be winding down this weekend. No more destroyed Corvettes or junked Mustangs. The program, which allowed for up to a $4,500 government rebate for turning in an old junker with poor gas mileage, has met with different results according to who you ask.



The news comes via The Truth About Cars.





Picture: Associated Press



When it originally began, Congress had allowed for $1 billion in funding to help boost the suffering auto sales market. Within a week there was talk that the program was already running out of money, and Congress rushed to pass $2 billion in additional funding to keep the program going. But now, after the National Auto Dealers Association called for an end to the program, the government seemed to listen. On Monday the plug gets pulled on the program. Has it been a success?



Some dealers seem to think that yes, it helped out a whole lot. It brought new customers into showrooms, got old cars off the road, and helped drive sales through the dog days of summer. August is on track to have over 1.1 million cars sold, in a year when some economists were predicting new car sales wouldn’t get past 10 million total.



But of the $2 billion already given out, only about $140 million in the rebates have actually been processed. While the government has tripled the number of agents working on processing the invoices, it is proceeding with usual government expediency; the speed of molasses. There are also dealers who are worried they won’t get reimbursed if the money runs out. What do you guys think, was Clunkers a success or a bomb?

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The drama is over, folks. Cash For Clunkers, also known as the Car Allowance Rebate System or CARS, will be winding down this weekend. No more destroyed Corvettes or junked Mustangs. The program, which allowed for up to a $4,500 government rebate for turning in an old junker with poor gas mileage, has met with different results according to who you ask.



The news comes via The Truth About Cars.





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