Car Allowance Rebate System

The Car Allowance Rebate System (CARS) Act has been signed into law. Commonly referred to as "Cash for Clunkers," this program was designed to increase the amount of fuel-efficient vehicles on the road.

CARS will help you pay for a new, more fuel-efficient car or truck from a participating dealer when you trade in a less-fuel efficient car or truck. Discounts range from $3500 to $4500 depending on the type of new vehicle and its fuel economy.

If you qualify for this program, California Pacific FCU can help.   • Check out our great Auto Loan Rates »   • Visit our Auto Buying Page to start shopping now!   • Visit us today to get pre-approved!

Qualifications

• Your trade-in must be less than 25 years old (as of the trade in date).
• Your trade-in must get 18 or less MPG (some very large pick up trucks and cargo vans have different requirements).
• Your new vehicle must be new. Discount does not apply to used vehicle purchases.
• For passenger automobiles, the new vehicle must have a combined fuel economy value of at least 22 miles per gallon.
• You don't need a voucher; dealers will apply a credit at purchase.
• The vehicle that you are trading in is required to be destroyed. Therefore, the value you negotiate with the dealer for your trade in is not likely to exceed its scrap value. The law requires the dealer to disclose to you an estimate of the scrap value of your trade-in vehicle.
• Program runs July 1 through November 1, 2009. While the CARS Act makes transactions on and after July 1 potentially eligible for credits under the CARS program, interested dealers and consumers may want to wait until all of the detailed issues that must be addressed in the implementing regulations are resolved and the final rule is issued. Issuance will occur around July 23.