Friday, July 31, 2009

cash for clunkers suspended

cash for clunkers suspended



'Cash for Clunkers' Suspended? Funds Already Running Out,
The U.S. government's wildly popular Cash for Clunkers program was designed to help the struggling auto industry by giving owners of old cars money toward the purchase of a new, more fuel-efficient vehicle. But now the program appears to be running out of gas. It looks as if the money to buy up used cars has already been used up.

The White House announced late Thursday it was reviewing the program, denying earlier reports that "Cash for Clunkers" was being suspended. The conflicting announcements created confusion for buyers and car dealers alike.
Cash for Clunkers was supposed to continue through Nov. 1, 2009, or until the money ran out. But with the number of dealers participating, if each completed just a dozen cash for clunkers deals, the $1 billion would be spent. And some dealers have initiated more like 250 "Cash for Clunkers" deals -- 20 times what the government was expecting.

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