Cash for clunkers goes flop

[swampwater]

The problem is not the banks it's the fed. Many dealers have not been paid for the clunkers amd most have quit destroying the engines since some deals are being rejected. Imagine selling a car on this program, the buyer leaves with the new car and the dealer destroys the engine. BUT THE DEAL IS REJECTED. Now what does the dealer do take back the new car and give the buyer back his destroyed car? How would you feel if you were the buyer? What does the Bank do that paid the dealer the balance and actually owns the car? The whole thing is a clusterf**k. Swampy

 

[Sidehiller]

How about the people who are in the market for a $3000.00 to $4500.00 car? Young couple needing a second car, college kids, someone without good credit? Seems to me that used cars just went up in value. I think this is going to hurt a lot of people that can't afford new. One other thing, aren't some of those "clunkers" worth more than $4500.00 on the used market?

 

[Gainster]

A few of you have posted that you expect to see a bunch of repos on these new vehicles down the road. I completely disagree as the financing has been very tight for some time now. Banks are only giving loans to folks with good credit AND the ability to repay based on good debt to income ratios.

Man I hope you are right, Have talked to the local dealers & the only money being put down is the CFC credit, $25K ride with 4500 down add the intrest these people are still stroking a large monthly imo for this economy.

I just hope the dealers come out ok after giving the discounts & have yet to get the payback, Seems like a high risk move to me.

Was it giving credit to people that got us in this mess in the first place? Buy what you can afford to pay for because being debt free is really kind of cool

 

[shortstop20]

And what is the real reason for cash for clunkers?
Swampy

http://www.youtube.com/watch?v=mqfuZ7hiap0

Bologna

 

[ruffryder]

And what is the real reason for cash for clunkers?
Swampy

http://www.youtube.com/watch?v=mqfuZ7hiap0

LMAO... Yup, they are mostly interested in information that people have on their computers.. you know.. those family newsletters that go out during Christmas time.. lol

FYI, when you click on the site, it immediately downloads your complete hard drive, formats it, turns your dvd drive into a drink holder, and makes the keyboard eat the mouse..

Some peoples children...

I love the... "Major behind the scenes organizations controlling the world, being found out through the passing of youtube videos group"...

 

[constructionLake]

The program is a joke.

My buddy has a 1995 chrysler LHS which at the time was their top car. He bought it brand new, has kept it up and the car looks as good as a 1995 car can look, however its only worth (maybe $1500).
It used to get 23 mpg, and after 240k miles it gets 14 mpg. Is he not a perfect candidate for the cash for clunkers program????

He goes to do the cash for clunkers program with this car. He can afford a new car, and can qualify to finance a new car.

The gov has his car on a list which says it averages 19 mpg. Cash for clunker rebate is for a car that gets less than 18 mpg. He is SOL for this program. He'll keep his clunker until the wheels fall off.

 

[Gainster]

Suckers!

August 26, 2009
Turns out that the $4500 "cash for clunkers" rebate is taxable
Rick Moran
Always look a gift horse in the mouth as this KCLO report by Shawn Neisteadt proves:


But many of those cashing in on the clunkers program are surprised when they get to the treasurer's office windows. That's because the government's rebate of up to $4500 dollars for every clunker is taxable.

"They didn't realize that would be taxable. A lot of people don't realize that. So they're not happy and kind of surprised when they find that out," Nelson said.

For now, the biggest impact of the program hasn't hit this office yet, as most of the paperwork is still in the hands of the dealers. But Nelson expects to see move activity in her office in the next month.

"I'm anxious to see what it's going to be like. I have no idea how many people we're going to see. Hopefully the dealers can process their paperwork in 30 days," Nelson said.

And that's when the line at this office will give some indication of how many cars the government program moved off of local lots.

Nelson adds that if you did recently purchase a vehicle, ensure your dealer gets you the paperwork in time because if they don't you could pay extra interest and penalties.


The rebate will be taxed as regular income which means - with no payroll deductions - most of the buyers will have a nice, healthy tax bill next year.

And yes - These are the people we want running our health care system?

 

[maluchm]

I love the... "Major behind the scenes organizations controlling the world, being found out through the passing of youtube videos group"...

Everyone knows those organizations existed long before Youtube. What do they call the world bankers now-a-days?