UPDATE: Cash for Clunkers is continuing in and after August 2009! Both the United States House and Senate have approved the Cash for Clunkers or C.A.R.S. program to pay government money to people to turn in old gas guzzling vehicles. The idea is to offer government cash for cars with low MPG and give incentives for buying new, more efficient automobiles

Several US states, including California and Texas already offer cash incentives to get older vehicles off the roads. Reasons for these programs include reducing the polluting gases that older autos emit, helping consumers afford better and more cost-effective vehicles, and at the same time helping jump-start the auto industry.

Congress Makes C.A.R.S. Auto Rebate Program Nationwide

While bills in Congress vary by state, most offer vouchers up to $5,000 toward the cost of a new vehicle for turning in a qualifying ‘clunker’ that is at least eight years old. These vehicles will be destroyed.

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