Car shoppers looking to get rid of gas-guzzling old vehicles could get up to $4,500 in government vouchers to help them buy more fuel-efficient vehicles under "cash for clunkers" legislation President Obama is expected to soon sign.
The bill, which has miles-per-gallon requirements and other rules, was approved by the Senate Thursday, after earlier winning passage in the House. It provides $1 billion for the program from July through November.
Here is how the program works:
• • Car owners get a voucher worth $3,500 if they trade in a vehicle getting 18 miles per gallon or less for one getting at last 22 mpg. The voucher grows to $4,500 if the new car's mileage is at least 10 mpg higher than the old vehicle.
• • Owners of sport utility vehicles, pickup trucks or mini vans getting 18 mpg or less get a voucher for $3,500 if their new truck or SUV gets at least 2 mpg higher than their old vehicle. The voucher would increase to $4,500 if the mileage is at least 5 mpg higher.
• • Eligible vehicles must be manufactured in model year 1984 or later and must be insured, registered in the car buyer's name and in use for at least one year.
• • Car shoppers don't actually get cash for their clunkers. The voucher will be applied to the price along with any other incentives.
• • Dealers will be required to send old vehicles to a disposal facility.
• • The program is expected to be implemented by early August and to be available through November.
• • The program will be available to dealers certified to participate in the program.
_________________________________________________________________________________ More wastful spending the vouchers will go to the car dealers but who pays in the end the taxpayers. Anytime the goverment enacts a program it is with our money .
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