For the most part, cash for clunkers is being touted as a huge success. When it was launched on July 29/2009 it quickly burned through the original $1 billion dollars that was set aside for the program and was quickly refunded with another infusion of cash. Whether you believe that the cash for clunkers program is a success or not, here are 3 pitfalls that you need to avoid if you decide to take advantage of the program. Cash For Cars Sydney
In some cases, dealerships are afraid of not getting reimbursed by the government for taking the cash for clunker trade so they are requiring the buyer to sign a waiver stating that if the dealership doesn’t get the money from the government then the buyer will be on the hook for the $3,500 – $4,000 trade in amount. Now, I don’t want to go too hard on the dealerships here because the government has been slow to pay them and there is always the fear that the funding will just vanish but as a consumer you need to get the best deal available for yourself. The reimbursement simply isn’t your problem and you should definitely not sign the waiver Signing the waiver is not necessary to participate in the cash for clunkers program and is just a requirement of that individual dealership.
You need to check the book value of your trade in before you decide to trade it in. If it is near the $3,500 – $4,000 limit of the cash for clunkers program, then it is usually a better deal to sell it and then use the cash to buy a new car or get an even better value by buying a good used car that’s a couple years old but still under warranty.