Cash For Clunkers Ends

cash for clunkers endsProgram will end: Monday Night, August 24th at 8:00 pm

It was no surprise to see the news wires report that NHTSA Secretary Raymond LaHood will end the Cash for Clunkers program on Monday, August 24th.

We posted an article calling for the NHTSA to announce a firm end date; we didn’t realize how many NHTSA employees must read our blog.  :)

Consumers Have Days To Shop

Consumers are advised to read three articles before they go shopping.  Consumers should call ahead to local dealers to make sure that they can get the car you want before the program expires. 

The car does not have to be in their current stock but they do have to get a VIN# to enter in the sale to the NHTSA system. 

You can also use the convenient form on the left and ask a dealer to call you from your area.

Sad To See Clunkers End

When you dedicate a large part of your time every week to a project like Cash for Clunkers, writing 7-10 articles a week, it is a bit sad to see the program wind down.  I have enjoyed the banter, discussions and the thousands of people who have contributed to the discussion.  I want to thank everyone for making this website the #1 consumer to consumer resource for the Cash for Clunkers program.

This website idea has been a great experience for Pasch Consulting Group. It has also given my company a wonderful case study to show how to build websites that rank nationally in Google for popular search phrases.

This project has generated many calls from companies that are looking for better visibility for their business and more direct leads.  Of course, we can help; that’s our specialty. 

The fact that this website has had over 7 million page views less than 90 days is proof that our Internet marketing team knows how to create websites that people find easily in Google.  If you are a business owner that needs greater visibility in the search engines for your products and services, send us a note to info@paschconsulting.com

Healthcare Next Up

Many readers have suggested that we create a similar website forum for Healthcare and we have decided that we would.  This will take up even more time I think.  I think it will also be a very hot topic.

So, if you would like to head-up your own virtual town meeting in your State or County, just sign-up for our email list in the upper left corner and check off the “Heathcare” preference. You’ll get an email next week when we go live. 

We will have forums setup for every county in the USA.   You can lead a discussion and raise your voice as we expect to see some legislation come to a vote this fall.

Healthcare is a very hot topic and we will be gearing up to help consumers discuss the news, proposals and issues that effect their lives and those in their family.  Think are going to get busy. 

Don’t forget to add your name to our email list in the upper left corner.

Brian Pasch, CEO

Pasch Consulting Group


22 responses on “Cash For Clunkers Ends

  1. Good bye c4c and good riddance as it was killing car donation charities.

  2. George K says:

    TONY SAID:
    George K said … “I’m sure the majority of the half-million plus people buying cars had good experiences too. Those who didn’t post on forums like this (over and over it looks like).”

    (then Tony said) “I’m humbled to be an active contributor (over and over) to a site that contains a post from a gentleman that has insight into the experiences of “half-million plus” consumers.”

    And of course, Tony, you realize that you also just claimed to have insight into the experiences of the consumers, since you are saying that I’m wrong?

    You would have better insight yourself, Tony, if you would simply read news reports from around the country which quote car delears, like I have done. Then you would have seen that my statements are correct. Just about all of them say that they have completed C4C deals, the consumer has their new car, but the dealer is still waiting for the gov’t check back to them.

    So actually, yes, the majority of C4C consumers have had a great experience. But only 8% of the car dealers have gotten their monies back so far from turned-in and approved applications. Them I feel sorry for.

    So,instead of pontificating yourself, without any facts, please read some facts first. Thanks.

  3. Brian Pasch says:

    @Chuck – If they can get the VIN# the deal can be made and submitted.

    @Ron – The dealer is only supposed to keep $50 of the salvage fees.

    Brian

  4. eronne says:

    Well, the government seems have done their best, just as the Inside Line says: As a sales motivator, Cash for Clunkers has certainly been good for stimulating car sales. But the government can only do so much to help.
    Although the program would end before we expected, and only run for a couple of weeks, it do contribute to the car industry, General Motors is enjoying a recent sales uptick and Chrysler had announced it would increase its production.

  5. Ron Greer says:

    HELLO,LIKE TO SAY THANKS AGAIN FOR YOUR HARD WORK ONE LAST QUESTION PURCHASE A NEW CAR LAST WEEK DEALER STATED THAT THEY KEEP THE SALVAGE FEES FOR THE VEHICLE,MENTION THE GOV RULES AND HE STATED IS WAS WRONG,BUT ANYWAY REFUSE TO SIGN THERE PAPERWORK,ARE YOU HEARING ANYTHING ABOUT THAT.THANKS AGAIN RON

  6. Chuck says:

    If a car is in transist and not at the dealer yet, can the deal be written now if they have the VIN number?

  7. Tony says:

    George K said … “I’m sure the majority of the half-million plus people buying cars had good experiences too. Those who didn’t post on forums like this (over and over it looks like).”

    I’m humbled to be an active contributor (over and over) to a site that contains a post from a gentleman that has insight into the experiences of “half-million plus” consumers.

    George K suggests were only seeing the dark side because happy campers don’t post on “forums like this.” Oddly, George posts his positive experience on this very forum.

    Congratulations to you and your son there George. I’m glad the deal went smoothly for you both. You got a great deal on your Escape.

  8. George K says:

    Sad to see C4C ending. Both me and my son bought new cars.

    My Ford dealer processed their first C4C deal (me) on July 3, then waited until July 27 to process the paperwork. My son bought his Subaru on Aug. 8. Smooth transaction also, no problems. Both of us got $4,500 C4C rebate off the price.

    And… because I bought an Escape Hybrid, I’ll get extra hybrid tax credits — $958 Fed and $3,904 (!!) from state of Colorado.
    What a great deal this was for me, eh? Almost $10K off list price.

    I’m sure the majority of the half-million plus people buying cars had good experiences too. Those who didn’t post on forums like this (over and over it looks like). Well, good luck to you all who are having problems!

  9. mm says:

    Dealer said this morning today is the last day for many in this area; received e-mail notifican mid-morning. (TX Panhandle)

  10. Kira says:

    Just posted on CNN
    “Cash for clunkers program will end Monday at 8 p.m. ET, Transportation Secretary Ray LaHood says.”

    Brian – Thanks for this website. It was the only site with usefull information and helped us get through our CFC deal.

  11. cashforc says:

    Confirmed Monday August 24th is the end. :(

  12. BD says:

    Cash for clunkers ends Monday night (8/24)

    www . detnews . com/article/20090820/AUTO01/908200483/-Clunkers–program-ends-Monday-night

  13. Anne Gerzin says:

    Day number 20 and still waiting. I know there are buyers who have been waiting longer then me but I am still irritated. My dealer told me that they have had their first couple of approvals trickle in this week (they submitted 114). The dealer said that the approvals are not coming in sequentially by date! Yikes! There doesn’t seem to be any rhyme or reason. My tabs expire this month and my clunker is on it’s last leg (need to replace the head gasket). I wasn’t planning on getting a new vehicle, I was going to drive my 2000 Explorer until it died, which unfortunately was sooner then I expected. I’m afraid that if I ever get approved by NHTSA by Explorer won’t make it on the lot. Any ideas on how long the average approval time is? Thank you to everyone for a great informational site.

  14. Matthew Cullen says:

    The format of this website is genious. I really hope to see a format for every controversial issue just like this one where ideas, visions and opinions can be traded respectfully. This website really exposed the situation and gave us all a voice. For the first time in my life my voice was heard along with all the others. The voice of the collective overcame the shields, inherent to the system, put in place because the NHTSA didn’t want to hear what we were saying. Its the digital age, we don’t need to protest in the streets anymore. We need one good webpage like this and hail storm of citizens discussing the problems. Politicians need not go on lengthy expensive campains, they only need to look at a resource like this to figure it out and get it right for the voters.

    We all have a right to demand better from our government and if they can’t do better we deserve to have transparent explainations.

  15. Pamela says:

    While the Cash For Clunkers may be coming to an end, and this site has been so much help to all of us those who just did car deals and received the right treatment and those of us who were duped from the beginning by shady dealerships, I want to share this article that posted in our local newspaper this morning. In this article they post the plight of the dealerships and then they go on to expose the exact dealer we are working with and there holding of “60 Vehicles” hostage. God bless those dealers who did the right thing and read on why consumers are now so skeptical of dealers because of those who did not:

    Eastern Connecticut auto dealers fume at Cash for Clunkers delays
    Plainfield firm holding back more than 60 cars
    ——————————————————————————–

    By JAMES MOSHER
    Norwich Bulletin
    Posted Aug 19, 2009 @ 11:34 PM

    ——————————————————————————–
    Cash for Clunkers is proving to be a bureaucratic traffic jam, with local auto dealers getting few approvals for new car sales under the program.

    Central Auto Group in Plainfield is holding on to more than 60 cars it agreed to sell until the federal government pays promised $3,500 or $4,500 rebates, General Manager Brian Gates said.

    “This is a monstrosity of the U.S. government,” Gates said Wednesday. “The government is letting the people down.”

    The government tried to reassure the public this week with U.S. Transportation Secretary Ray LaHood promising sellers they’ll be paid.

    “They’re going to get their money,” LaHood said Wednesday in Washington.

    The situation is being monitored by U.S. Rep. Joe Courtney, D-2nd District. Courtney sent a letter to LaHood Wednesday.

    “The problems stem from the fact that the program was more successful than anybody could have anticipated,” said Brian Farber, Courtney’s communications director. “The congressman is pushing the administration to fix things and we’re seeing some movement.”

    Connecticut’s largest trade group is planning a press conference at 11 a.m. today at Hoffman Ford in East Hartford. Attorney General Richard Blumenthal is slated to attend.

    “The transportation department needs to hear from Main Street,” said James Fleming, president of the Connecticut Automobile Retailers Association. “There is an urgent need to revise this program.”

    Hoping for best

    Most local dealers are letting cars go off their lots and crossing their fingers they’ll get paid.

    “I’ve delivered them,” Girard Ford General Manager John Calash said of the 15 cars he’s sold under the clunkers program that began July 27. “I’m taking my chances that the government will be honest.”

    Girard Ford on West Thames Street in Norwich hasn’t gotten one approval, Calash said.

    It’s a similar story at Charles Toyota/Scion next door to Girard. It has sold 38 cars and gotten zero approvals. The older “gas guzzling” cars that were traded in are at the back of Charles’ lot and the new cars are gone.

    “It thinned out the inventory pretty well,” General Sales Manager Marty Hall said. “I give the program credit for that.”

    Bill Sullivan, owner of M.J. Sullivan Automotive Corner in New London, and Hall said the rebate delays are causing cash flow problems for dealers and delaying commissions to salespeople.
    Dealers typically borrow to put new cars on their lots and must repay lenders within a few days of sale.

    “It’s nerve-racking,” said Sullivan, who has sold 150 cars under Cash for Clunkers and been paid for just eight.

    Changed the rules

    The government has changed regulations several times during the program’s short duration, said Eric Holmgren, general manager of Holmgren Subaru in Franklin.

    “It’s a great concept, but the execution has caused a lot of problems for dealers,” said Holmgren, who has sold 30 cars under the program and received no rebates.

    Fluid regulations have raised questions about what to do with “clunkers” taken in trade. Initially, dealers were instructed to disable the engines and send the cars to be crushed. Some dealers are refraining from doing that because they might have to give the old cars back if rebates aren’t approved.

    Another issue is whether to release the new cars. Gates is holding on to the vehicles he’s agreed to sell, saying without the rebates the sales are “not consummated.” The Central Auto Group owner has held to that position since the program began. Yet a regulation posted on the Cash for Clunkers Web site states a dealer must allow a buyer to take possession before the credit application is submitted to the government. This regulation was adopted less than two weeks ago, dealers said.

    “It’s putting dealers at odds with customers,” Gates said.

    Two customers sent letters of complaint about the Lathrop Road dealership to The Norwich Bulletin, with one filing a complaint with the Plainfield Police Department.

    Endless waiting

    A Central Auto customer sees problems running in both directions.

    “Dealers are frustrated because they have not received payment for the rebates,” Irene Vojick of Lebanon wrote in an e-mail. “We are stuck now, because we have the clunker and they have our money, so we just wait, and wait, and wait, and wait.”

    The Department of Transportation said earlier this week it was tripling its rebate staff with 1,100 people expected to handle paperwork by week’s end. Local dealers said applications are being rejected for small imperfections, leading to additional frustrations.

    “The whole thing is very tedious,” Sullivan said. “And you can’t get anybody on the phone to
    discuss it either.”

    Industry observers say the program, aimed at putting more fuel-efficient cars on the road and decreasing dependency on imported oil, is fading. Edmunds.com said interest was down 15 percent last week from its July peak. Ninety out of 710 dealers have dropped out of the program because of problems in getting paid, Automotive News reported.

    Nationally, dealers have made $1.81 billion in sales through Wednesday. The program’s total budget is $3 billion.

    Associated Press reporter Ken Thomas contributed to this story.

  16. Ohio Greg says:

    Quoting the article…

    “The Obama administration said it will wind down its popular “cash for clunkers” incentive program on auto sales — and may do so as soon as EARLY SEPTEMBER, according to one person familiar with the matter.”

    Based on the NHTSA’s own numbers, they are processing around 23,000 applications per day right now…that’s nearly $100 MILLION DOLLARS A DAY worth of rebates.

    With $1.8B gone as of yesterday morning, this program should be good for another 10 days (based on NHTSA figures).

  17. Jali says:

    I echo Nate Riesen’s sentiment.

    I have spent countless hours at my dealership over the last several weeks. I penciled what may be one of the earliest clunker deals in the Great state of Idaho on July 5th. I was an avid student and analyst of the program before it became law and subsequently have expertly discussed the program and opportunity with literally 100′s of prospective buyers.

    Mr. Pasch, your website, while officially a non-government site, has been the essential and dominant source for the vast bulk of my best information in doing C.A.R.S. business. I am indebted to your efforts and greatly appreciative of the exchange in being able to post and read. You have seen the benefit of exceptionally well informed industry professionals as well as consumers articulate in your forum. BRAVO!

    You’d be proud to see the stack of copies of “The Checklist” that our sales staff has rapidly disseminated to buyers. It remains a conundrum, to me, how uninformed so many would-be buyers still are to this date. Yet Google is so easy. No matter; you have helped perpetuate sound information.

    This program is a true double-edged sword. On the whole it seems to be an exceptionally good use of tax funds and I can only hope that the momentum it has kindled remains in overdrive.

    To the “consumers” (truly: friends, buyers, customers, clients, family, fellow taxpayers, and trusting confidants) you are the catalyst to recovery and our reason for being. Your industry professionals buy cars just like you. We have rent and mortgage payments just like you. We are raising toddlers just like you. We have kids in college just like you. We struggle with day to day financial decisions just like you. And we experience disappointments just like you! Yet we have mutually exploited the opportunity offered by this program and won some, lost some.

    Regardless, we appreciate you and we thank you for the opportunity no matter the outcome.

    Thank you Mr and Mrs. Consumer, Thank you Legislative and Executive branches of U.S. Government, thank you NHTSA, and thank you Mr. Brian Pasch.

    All of the above have taken a step in the direction of improving this good old machine called the U.S. Economy. I salute you all!

    SEMPER FI!

  18. Brian Pasch says:

    @Matthew

    That is a nice thought! Put a smile on my face.

  19. Matthew Cullen says:

    Hey now, put the flowers away! We ain’t done yet. They haven’t said anything yet.

  20. Nate Riesen says:

    It is sad to see this program coming to an end but i do want to thank you folks for a great web-site. You’ve been extremely informative and really gave me ( a Toyota Salesman ) an edge in with the information that you’ve shared with us.
    Thanks a lot, I look forward to hearing from you on the next program!
    Nate Riesen

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