The Department of Transportation announced today that due to an overwhelming consumer response, it is winding down the Car Allowance Rebate System (CARS), better known as Cash for Clunkers. All CARS transactions must be finalized and submitted by dealers before Monday night at 8 pm (E.D.T.). Click here for the official announcement. AIADA will keep our members updated as details of the wind down emerge.

"By any measure, Cash for Clunkers has been a success," said AIADA President Cody Lusk. "The CARS program has pumped $3 billion back into the pockets of tax payers, boosted struggling auto sales, led to new jobs, and increased tax bases for communities across the country. As the program is wound down, it is vital that the government focuses its energies on speeding vouchers payments to dealers, many of whom need those funds to pay their own employees."

Dealers across the country have conducted dozens, sometimes hundreds of Clunker deals. But the government has reimbursed only a fraction of those transactions. For small businesses, that loss of cash is devastating. Dealers need to know that the government is streamlining the reimbursement process, and that the reimbursements are guaranteed.