Okay…because you asked, I found out about this “cash for clunkers” thing.  Here’s the deal.  There is a website dedicated entirely to this program (www.cars.gov).  This website is updated regularly and will let us know when the program is over.  Make sure you check it out before taking advantage of this program.  Oh….and also make sure you have a job and can afford a new car payment. That only makes common cents!  There is a great article on the subject here; http://www.foxbusiness.com/story/steps-cash-clunkers.

Just in case this article is gone by the time you get there, here is the lowdown:

The CAR Allowance Rebate System (CARS) is still operating.

Consumers can still take advantage of the government program and receive a $3,500 or $4,500 discount for their trade-in vehicle when purchasing or leasing a new vehicle. This credit is considered the buyer's trade-in value, and their clunker is sent off to be crushed.

What is the Car Allowance Rebate System?

The CAR Allowance Rebate System (CARS) is a $1 billion government program that helps consumers buy or lease a more environmentally-friendly vehicle from a participating dealer when they trade in a less fuel-efficient car or truck. The program is designed to energize the economy; boost auto sales and put safer, cleaner and more fuel-efficient vehicles on the nation's roadways.

Consumers will be able to take advantage of this program and receive a $3,500 or $4,500 discount from the car dealer when they trade in their old vehicle and purchase or lease a new one. Consumers you do not need to register anywhere or at anytime for this program.

Consumer Bill of Rights

Qualified consumers may participate in the CARS Program between July 1, 2009 and November 1, 2009 or when authorized funds are no longer available.

Qualified consumers will receive a credit of $3,500 or $4,500 for an eligible trade-in toward the purchase of lease of an approved vehicle under CARS Program.

Qualified consumers will receive the $3,500 or $4,500 credit at the time the purchase their new vehicle.

Dealers must provide consumers with any other advertised rebates or discounts in addition to the credit they receive through the CARS Program.

Consumers should expect to conduct their deals at their dealership of choice, not on the Internet.

Consumers should expect the dealers to provide their best estimate of the scrap value for their eligible trade-in vehicle. Dealers are allowed to deduct $50 from this value for their administrative costs.

Consumers should expect that all information collected through the CARS Program will be kept confidential. Social Security numbers are not required for a CARS transaction.

What is the value of the credit for the purchase or lease of a new passenger car?

The value of the credit for the purchase or lease of a new passenger car depends upon the difference between the combined fuel economy of the vehicle that is traded in and that of the new vehicle that is purchased or leased. If the new vehicle has a combined fuel economy that is at least 4, but less than 10, miles per gallon higher than the traded-in vehicle, the credit is $3,500. If the new vehicle has a combined fuel economy value that is at least 10 miles per gallon higher than the traded-in vehicle, the credit is $4,500.

Important Things to Know

Your vehicle must be less than 25 years old on the trade-in date.

Only purchase or lease of new vehicles qualify.

Generally, trade-in vehicles must get 18 or less MPG. (some very large pick-up trucks and cargo vans have different requirements)

Trade-in vehicles must be registered and insured continuously for the full year preceding the trade-in.

You don't need a voucher, dealers will apply a credit at purchase.

Program runs through Nov 1, 2009 or when the funds are exhausted, whichever comes first.

The program requires the scrapping of your eligible trade-in vehicle, and that the dealer disclose to you an estimate of the scrap value of your trade-in. The scrap value, however minimal, will be in addition to the rebate, and not in place of the rebate.