President Barack Obama has signed the cash for clunkers program into law on June 24.
The Cash for Clunkers program under the Consumer Assistance to Recycle and Save Act of 2009 is designed to help the economy and the environment by spurring new car sales.
Car owners can receive federal subsidies of up to $4,500 for the purchase of a new car when turning in an older vehicle to be scrapped.
Below are some instructions on how to get cash for clunkers voucher:
First you must have a vehicle that qualifies for the voucher. The vehicle must have been registered and in use for more than 1 year. Your voucher will either be $3500 or $4500 depending on mileage improvement.
Your vehicle must meet certain miles per gallon (mpg) requirements. For passenger cars the maximum combined city/highway mpg rating must be 18 or fewer. For standard duty trucks the rating must be 18 or fewer. For trucks that weigh 6,000 to 8,500lbs must get a rating of 15 mpg or less. Works trucks 8,500 to 10,000lbs do not have a rating so the truck must be a 2001 model or older.
For passenger cars the minimum miles per gallon for the new vehicle must be 22. To get a $3500 you must improve your mileage by at least 4 mpg. Example, if your trade-in was getting 18mpg then your new car must get 22mpg. To get the $4500 voucher you must improve your mileage by at least 10mpg.
For standard duty trucks the minimum mpg for the new truck is 18. To get $3500 you must improve your mpg by at least 2 and to get $4500 you must improve your mpg by at least 5.
For heavy duty trucks the minimum mpg for the new truck is 15. To get $3500 you must improve your mpg by at least 1 or trade in a work truck and to get $4500 you must improve your mpg by at least 2.