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Want to know what happens to the clunkers in the "Cash for Clunkers" program?


jagr

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I was sitting at Roush Honda getting a oil change and saw a car in the back that had Clunker written on a window. I asked one the the techs what happens to them. He said they are draining the oil, pouring in a solution that siezes the motor then they get hauled to a crusher and that's it.

I don't know what I think about this. Seems like a waste to me.

But it's prolly just the hater in me knowing this is another handout that I don't qualify for but am paying for.

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the sad thing is it's gonna hurt the poor anyway, they can't afford a new car and they won't be able to afford the parts now because there will be fewer parts out there... this program is about freaking stupid!!!

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Yep, this will screw the used car part market for sure. Nothing like forcing the citizens to get rid of their old cars.

Hopefully this ends for good this year.

I think people will just buy a $100 beater off of craigslist to trade in to get the credit, leaving less cheap used cars out there for those with little cash and not credit worthy.

It is a joke.

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yeah i heard about that, people that buy used cars and fix them up to resell them were pissed! Now they can't make their living as easy and cheaper cars arent as easily available. But hey get use to it, its all a part of big government intervening in free market economics.

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i heard they get crushed...which on most cars that are being brought in...doesn't bother me much...

Who wants a 93 cavalier with 180,000 miles on it? (especially with northeast ohio rust)

anything that's salvageable or worth money probably won't be swapped in on this deal (especially since you have to prove you've owned the car for over a year)

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i heard they get crushed...which on most cars that are being brought in...doesn't bother me much...

Who wants a 93 cavalier with 180,000 miles on it? (especially with northeast ohio rust)

anything that's salvageable or worth money probably won't be swapped in on this deal (especially since you have to prove you've owned the car for over a year)

But therein lies the problem. What if you had a '93 cavalier and all you needed was a control arm or something? You could normally go down to the junk yard and grab one for $20. With the CARS program, all cars turned in are DESTROYED- not parted out. Many cars in the $5-7000 retail range have trade in values of less than the $4500 being offered by the govt. This eliminates a huge market for people that want to buy a cheap beater. Ever wanted a 'winter car'? You used to be able to find those for $500 but with this law, why would somebody bother selling it for that?

If this continues for the long term, this program will actually force people to go further into debt as they won't be able to find any decently priced used cars.

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K, but ya gotta know what they will take...... I have a 97 accord which needs some help. I'm gonna put the cash into it cause "its a honda", DUH. BUT, it doesn't qualify for this "clunker" thing cause it gets to good of gas mileage. The vehicle has to be no older than 20 years and get no more than 25 (I think) mpg. Heard all this on the news yesterday. I felt they could have went older cause they really built some shitty cars in the 80's..... but the ones that have survived are considered antiques, so that is why I guess they won't crush em. beats me........ just what I heard.

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It's probably part of the deal on the automotive bailout. All about trying to increase income for the manufacturers by influencing sales of new vehicles. As usual, there will be side effects that aren't so hot for the average Joe. A certain percentage of the population will need to get used to walking. Primarily because there really isn't any decent mass transit.

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Many people drive shit cars because that is what they can afford. So even a $4500 "discount" wont help them much. It will help contractors that want to get rid of their old work vehicles. Or the guy who gave his kid a shit car when they turned 16, he will take it back trade it in and get something newer for himself. So this program does little for the poor or disadvantaged.

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I think people will just buy a $100 beater off of craigslist to trade in to get the credit, leaving less cheap used cars out there for those with little cash and not credit worthy.

It is a joke.

i do believe that you have to had owned the car for more than a year or had insurance on it for a year or something like that to keep people from doing this.

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But therein lies the problem. What if you had a '93 cavalier and all you needed was a control arm or something? You could normally go down to the junk yard and grab one for $20.

that sounds all well and good, but if your control arm "failed" likely any control arm in the junkyard is not going to be in any better condition than the one that failed. This is a time when you would likely have to go to a parts store anyway...

while i see your POV, it's not nearly as detrimental as one might think.

the used car market...yeah I could see it taking a small hit, but not everyone who has these old cars is in the market for a brand new car either.

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that sounds all well and good, but if your control arm "failed" likely any control arm in the junkyard is not going to be in any better condition than the one that failed. This is a time when you would likely have to go to a parts store anyway...

while i see your POV, it's not nearly as detrimental as one might think.

the used car market...yeah I could see it taking a small hit, but not everyone who has these old cars is in the market for a brand new car either.

the used car market that is hit is the cars that are 1-3 years old. Why would someone want to buy a two year old car when they can get a new one cheaper (with the $4500 credit)?

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this will not be long term because the government is paying for it. The dealerships will not get paid for who knows how long...so they will stop advertising soon. They will run out of money. Plus the dealerships are raising the price of their cars to make up for any loss.

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the used car market that is hit is the cars that are 1-3 years old. Why would someone want to buy a two year old car when they can get a new one cheaper (with the $4500 credit)?

true, but not everyone has a "qualifying" clunker to trade...

I'm not saying the plan is peachy or flawless, just that the side effects are being over-estimated.

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this will not be long term because the government is paying for it. The dealerships will not get paid for who knows how long...so they will stop advertising soon. They will run out of money. Plus the dealerships are raising the price of their cars to make up for any loss.

'Cash for clunkers' spurs flurry of sales

http://www.mansfieldnewsjournal.com/article/20090729/NEWS01/907290310&referrer=FRONTPAGECAROUSEL

MANSFIELD -- Local car dealers say business ranged from "very brisk" to "phenomenal" in the opening days of the federal government's "cash for clunkers" program.

The program aims to get older cars with poor gas mileage off the road. Officials at 17 dealerships in Crawford, Richland and Ashland counties reported plenty of business.

"It's been going really well across our six new car franchises," said Ken Williams, general manager of Graham Auto Mall in Mansfield. "I think it's been good for stimulating traffic into our stores, because we're seeing customers we have not seen before."

Williams reported selling 40 new vehicles across the franchises since Friday.

"I've had more floor traffic in the last few days than I've had in the past couple of weeks," said Brian Joyce, owner of Joyce Buick Pontiac GMC of Mansfield. "A lot of people are looking into taking advantage of the program because they can get either a $3,500 or a $4,500 rebate, depending on their trade-in and the vehicle they pick to replace it."

The Car Allowance Rebate System requires dealers to give qualified consumers a $3,500 to $4,500 credit when they buy or lease a new vehicle. The government will reimburse dealers.

"It's been brisk. There's no question it's working," said Craig Smith, of the Craig Smith Auto Group in Galion. "Anything that can be done to help right now is good."

"We should be calling it the 'cash for gas guzzlers' program, because there are a lot of models such as the Ford Escort and the GM Cavalier that might be clunkers, but have a good enough MPG average that they don't qualify for a rebate," said Kevin Hans of Cal Hans Ford, Lincoln, Mercury in Loudonville.

Steve Tetrick of Buckeye Chrysler, Jeep, Dodge and Kia of Shelby had so many people in his dealership Saturday that several complained about the wait. He said he made about 26 sales in the last three days, including some not related to the rebate.

To qualify, trade-in vehicles must average 18 miles per gallon or less according to government ratings and must be less than 25 years old. They must be registered and insured continuously for the full year preceding the trade-in.

Bruce Gerhart, General Manager of Skarl Buick and Pontiac in Shelby and Mansfield, said there is a lot of paperwork associated with the program. He said dealerships are required to put a chemical in the engine of the trade-in to prevent salvage yards from reusing the inefficient engines.

The program is scheduled to run until November, or until the $1 billion runs out. Most local dealers felt the money will run out long before the deadline, with some predicting it will last only two or three weeks.

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fwiw, the dealership has to give you the amount of money for the scrap metal in the car, however low it is.

So it's not a total throw away, they plan on using the vehicles for their metal, the key is they don't want someone else driving the old non gas efficient vehicle.

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seems silly to destroy the engines, fuel economy is not just a function of the engine...

I don't care what gasoline engine you put in a 6000 lb vehicle. If it moves at a decent pace, your mileage is going to suuuck..

(as we were discussing in the boat towing thread)

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