Cash for Clunkers
If you're thinking of using the Cash for Clunkers program to get a new car and perhaps taking on auto loan debt, consider the following:

1. You must be buying a new car. Used vehicles do not qualify.

2. The new car must have a manufacturer's retail price of less than $45,000.

3. The new vehicle must adhere to certain combined fuel economy standards. Cars must get at least 22 miles to the gallon. Trucks must get between 15 and 18 miles per gallon, depending on the type of truck.

4. The amount of the credit is between $3,500 and $4,500 depending on the type of vehicle purchased and the difference between fuel economy in your old car and the new one.

5. Your trade-in vehicle must have been manufactured 25 years or less at the time you turn it in.

6. Your trade-in vehicle must also be in drivable condition and have been registered and insured to the same owner for at least a year.

7. You may lease a vehicle under the plan, but the lease must be at least five years.

8. Car dealers must be registered to participate in the program. Participation by dealers is voluntary.

9. If you purchased a vehicle after July 21, 2009, you may be eligible for a credit even if you've already bought the car. See your dealer for details.

10. If you receive the credit, you will not get additional credit for your trade-in value. The trade-in cars will be destroyed.

11. You will not owe tax on the credit amount. It is not considered income.

The Cash for Clunkers program is causing quite a stir. To learn more about whether you qualify, please visit http://www.cars.gov/.