'Cash for Clunkers' Passes the HouseJune 11, 2009 - by Donny Shaw
This happened a couple days ago, but I think it’s still worth a mention before it slips any further into the past. On Tuesday, “Cash for Clunkers” legislation, which has been the subject of on-going negotiations for months, was approved by the House on a 298-119 vote, with all 15 Michigan representatives voting in favor.
If your car gets 18 mpg or less and you trade in for a new vehicle the achieves at least 22 mpg, you receive a $3,500 voucher, or $4,500 if the mileage of the new vehicle is 10 mpg higher than your previous heap. SUV, pickup truck and minivan buyers are eligible for a $3,500 voucher if their vehicle gets at least two mpg higher than their trade-in and $4,500 if the vehicle gets five mpg more than their older model. The vehicle has to have been insured for the last year and there is no trade-in value beyond the voucher. The program is also available for leases. Dealers are required to provide proof that the vehicle (1984 MY or later) has been crushed or shredded, and the government estimates that around 25 million vehicles are eligible.