Cash for Clunkers Scam Alert
The program will give consumers a voucher of up to $4,500 towards the purchase of a new car as long as the trade-in meets certain mpg requirements.
Before you get all excited, there's a couple warnings you should know about so you don't get duped.
Many dealers are excited about this program and some are jumping the gun in order to lure buyers early. Although the bill states vehicles purchased after July 1, 2009 are eligible, the details haven't been ironed out and finalized yet.
The official start date for the program is July 23rd. DO NOT do a cash for clunkers deal before July 23rd unless the dealer is willing to give you cash on the spot. If a dealer claims you will get reimbursed on July 23rd, simply walk away or you could find yourself in a legal loop-hole and out of pocket.
Another more serious scam to watch out for are sites claiming to be a part of the government program. They ask that you fill out personal information including address and social security numbers in order to "register" for the program.
This is pure fraud. DO NOT SUBMIT any personal information in regards to the cash for clunkers program. The only official government site related to the program is at www.cars.gov
3 Steps Every Car Buyer Needs to Take to Save Maximum MoneyThe key to getting the best deal is to gather price or lease bids from as many local dealers as possible. Then shop that best price around until no one can beat it. Here are the steps:
Step 1 Get Prices From My Trusted NetworkSelect the vehicle you're interested in to see if there are local dealers in my network who will provide you with their best upfront price. You will get direct access to an internet sales manager who you can further negotiate with online (no need to visit dealership).
Step 2 Get Prices From TrueCar / CarsDirectTrueCar, and CarsDirect are my top 2 online price quote recommendations. These services show you pre-negotiated prices from dealers closest to you - and the deals are usually pretty decent. But remember, you can still negotiate further.
Step 3 Complete my ChecklistFollow this up with my checklist to make sure you squeeze out every last bit of savings.
- Gregg Fidan
Each week, I'll keep you up-to-date on the latest car deals and news that might affect your purchase. This includes...
- Best Rebates, Incentives, and Lease Deals
- Latest Car Buying Scams and Tricks
- The Best & Worst Time to Buy a Car
- Which Cars You Should Avoid