NACOGDOCHES, TX (KTRE) The government's program, Car Allowance Rebate System, also known as "Cash for Clunkers" will subsidize the purchase of a new car if it's more fuel efficient than your current car.
John Stone traded-in his "clunker", a 1988 Jeep Cherokee. Stone said he didn't think his car was classified as a clunker until he researched the program online.
"I got $4,500 in for this because of "Cash for Clunkers" and blue book it's only worth about $1,400, so I definitely made a bargain," said Stone.
Stone said his new set of wheels is easy on the environment and gets better gas mileage. In order for your car to qualify as a clunker it must:
- get fewer than 18 miles per gallon
- be less than 25 years old
- have been owned and insured for the past year
Most dealerships are kicking off the government's $1 billion program on July 24th, but there are a few dealerships out there that will trade-in your clunker early. All clunkers cashed in will be headed to the car crusher to be sold as scraps.
The program is scheduled to last until the end of November or until the government's allocated funding runs dry.