Dealers Have High Hopes For Cash For Clunkers

Auto dealers around the region have high hopes for the “Cash for Clunkers” program.  Monday is the official start of the promotion to spur new car sales and get gas guzzlers off the road. Correspondent Tom Banse reports.

Like many dealers, Hanson Motors general manager Vince Hanson has cleared out a holding area for clunkers.

He's boned up on the program rules. He's even taken some deposits from buyers who couldn't wait for the kickoff.

The Volkswagen-Kia-Suburu dealer is optimistic Cash for Clunkers will stop the bleeding.

Vince Hanson: “Many new car dealers are struggling quite a bit. I think a lot of them, us included, are really looking at this for a quick infusion. I think it's also going to help manufacturers too.”

The auto dealers association estimates only about ten percent of the cars on the road today qualify as “clunkers” under the government's definition.

That's fuel economy no better than 18 MPG combined city-hwy. But Hanson and others in his business expect extra sales due simply to more traffic in their showrooms even if a person's trade-in turns out not to qualify.

Online:

“Cash for Clunkers” details

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