Cash for Clunkers Program

[lilsaver]

Hi,

Been a reader of MMM for a few years and a long time lurker on the forum. Finally decided to make an account. Hello!

I was wondering if anyone has gone through the Cash for Clunkers Program with California? I have a very old Camry, and it has failed smog. It's a 2002 and has almost 220k miles on it. I think the problem might be the catalyst converter, I tried to replace a few years ago. I'm not interested in putting anymore money into it.

[ixtap]

When is your registration due? The CA Cash for Clunkers program can take two months, according to their website. Can you get $1000 for it in any other way? That seems to be around the blue book trade in value for fair condition, but that might be with a passing smog test

[lilsaver]

The registration is due in 2 months

[ixtap]

The registration is due in 2 months

Since a smog test is required for a private party sale in California, I assume it must be a passing test (my car is getting a new manifold as we speak for just this reason). As such, I would:
-Call carmax to find out their stance on a failing smog test, take it them for an estimate if they take failing cars.
-If not carmax, apply for cash for clunkers online, as it seems to be slightly quicker than the mail in version.

[FallenTimber]

If you're going to be purchasing another car, you could find a used car at a dealer outside of California (a state without smog / emission tests), and trade in your car there.

My buddy did that with his truck, as he was facing $5k worth of repairs to make it pass an emission test.

[GetItRight]

Cash for clunkers was devastating to the poor. It eliminated the $250-$1000 good running driving car market, and encouraged mathematically challenged people to buy cars they couldn't afford with or without a subsidy. Then when the car gets reposessed or has some problem they can't afford to fix there are no more reliable cars for a price they can afford. Not to mention destroying many classic and desirable vehicles, that the victims of this program could have sold for the same or greater price as the money they were paid to destroy perfectly good vehicles.

[robartsd]

Cash for clunkers was devastating to the poor. It eliminated the $250-$1000 good running driving car market, and encouraged mathematically challenged people to buy cars they couldn't afford with or without a subsidy. Then when the car gets reposessed or has some problem they can't afford to fix there are no more reliable cars for a price they can afford. Not to mention destroying many classic and desirable vehicles, that the victims of this program could have sold for the same or greater price as the money they were paid to destroy perfectly good vehicles.

Yes, and the screen tax ruined the ability to buy TVs from thrift stores. I do think both programs have been effective for the intended environmental impacts. I believe Cash for Clunkers does pay a bit more ($500 IIRC) to participants who are under certain income thresholds.

[BTDretire]

Tell me about the screen tax.
 I tried looking for some cost but came up with nothing, except lots of Californis rules.
What would it cost to dispose of a 42" flat screen.
 And, why/how does it prevent thrift store resale?

[robartsd]

Tell me about the screen tax.
 I tried looking for some cost but came up with nothing, except lots of Californis rules.
What would it cost to dispose of a 42" flat screen.
 And, why/how does it prevent thrift store resale?

The disposal fee is paid when you purchase a screen (currently only $7 for screens larger than 35", was as high as $25 in 2009 and 2010). Non-profits can collect a fee for collecting the screens for recycling. Most thrift stores find it easier to get the fee than to try to resale the TV. They do need the donor's name and address to collect the collection fee, so putting TV's on the sales floor then recycling only the ones that don't sale is not feasible.

[lilsaver]

Thanks for all the feedback everyone! I signed up for the program. It seems the easiest way to go about it, and the return is decent ($1K). I'll update again after to share about the process.

[robartsd]

I'm not sure if the program still is taking new applicants but check out "Replace Your Ride". Its a program that, depending on your taxable income level and age of the car you're scrapping, will give you several thousand dollars toward the purchase of newer/new fuel efficient vehicle. When I applied I was told I qualified for $11k towards the purchase of an EV (which was the cost of a used Leaf) or $6500 towards a hybrid or $4500 towards a 30 mpgor higher gas car if I scrapped my small old truck. I didn't use the program but worth looking into if you are in Cali. https://xappprod.aqmd.gov/RYR/Home

That program is just for residents of the South Coast Air Quality Management District - does not apply to the rest of California. Cash for Clunkers is a statewide program.

[lilsaver]

Just wanted to provide an update. My car eventually passed smog (the check engine light went away), and I'm able to keep it for a little longer. Yay! In case anybody goes through the program, here's some info about the process:

-Definitely plan for the full 8 weeks to get a letter of approval (you apply online and make note of your CAP ID number, which you can use to look up the status of the application at any time).
-Once you're approved, you'll get a Letter of Eligibility for Vehicle Retirement in the mail with instructions. No way to get this over email because it's printed on security paper.
- Eligibility amount is $1K, and it gives an expiration date of about 6 weeks.
- Take your car to a dismantler from an approved list (you must drive the car there, it can not be towed)
- Bring your pink slip, registration card, photo ID.
- Dismantler performs an equipment and operational inspection on the vehicle, and if it passes, you will receive a check. Plan for your own transportation home.

[Syonyk]

Cash for clunkers was devastating to the poor. It eliminated the $250-$1000 good running driving car market, and encouraged mathematically challenged people to buy cars they couldn't afford with or without a subsidy.

Ugh.  Seriously.

I was in the "$100-$350 car" income bracket for a while in college, post-college... actually, for a good chunk of my driving life.  Then C4C came out and literally ruined that.  My wife, shortly after I met her, was driving a $500 clunker.  I thought she overpaid.  I was simply wrong about just how badly C4C had ruined the used car market.  She got a damned good deal on a rolling wreck at $500. :/

[robartsd]

- Eligibility amount is $1K, and it gives an expiration date of about 6 weeks.

I think there are income qualifications that can bump this up to $1500; but everybody is eligible for $1000 for qualifying cars that they've owned for at least two years.

[BlueMR2]

Just wanted to provide an update. My car eventually passed smog (the check engine light went away), and I'm able to keep it for a little longer.

Congrats!  A 2002 Toyota is not "very old" anyways and 220,000 miles is just a good start.  :-)  Our *newest* car in the fleet is a 2002!  My current daily driver is a 1991 Toyota with 291,000 miles.

[alsoknownasDean]

If a car fails CA smog, it can still be registered in other states? I would have expected that plenty of decent older rust-free California cars end up being shipped to areas where the cars rust out quickly.

A good effort to get to 220,000 miles nonetheless.

[robartsd]

If a car fails CA smog, it can still be registered in other states? I would have expected that plenty of decent older rust-free California cars end up being shipped to areas where the cars rust out quickly.

A good effort to get to 220,000 miles nonetheless.

Value of car would have to be greater than $1000 plus the cost of transport plus markup - I don't see it being worthwhile unless the car is expected to be worth at least $3k.