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CARS Not Quite Ready for Implementation at DOT

The Department of Transpiration claims it will put safer, cleaner, more fuel efficient vehicles on road.

by on Jun.29, 2009


Go to for CARS.

U.S. Transportation Secretary Ray LaHood said his department stands ready to implement a new buyer incentive program signed into law last week by President Obama that will help consumers pay for new, more fuel efficient vehicles when they trade-in a less fuel efficient car or truck. 

While the Car Allowance Rebate System (CARS) Act makes transactions on and after July 1 potentially eligible for credits under the CARS program, dealers and potential customers 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. Click here to sign up for e-mail updates

“At this important time for the industry, we will help to boost automobile and truck sales while putting vehicles on the road that are safer, pollute less and get more miles to the gallon,” said Secretary LaHood.  

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Under CARS, buyers can receive up to $4,500 toward the purchase or lease of a new car or truck that meets the necessary criteria.    

To get a rebate, the new car must be priced at $45,000 or less, and, to receive the maximum rebate of $4,500, the new car must have a fuel economy rating of at least 10 miles-per-gallon greater than the car to be traded. To receive an incentive of $3,500, the same car would be traded for one that gets at least four miles-per-gallon better gas mileage.