The federal CARS rebate program — better known as Cash for Clunkers — came to an early end today, for the second time. The program, which started July 1 despite having no set guidelines for dealers or buyers, quickly ran out of funds. When The Rule, as the government’s Cash for Clunkers clarification was called, was published in late July outlining requirements and restrictions, buyers eagerly hopped on the bandwagon and exhausted the original $1 billion set aside for the program.
Congress acted fast and added $2 billion more to the program before its summer recess, but the money wasn’t enough to sustain CARS through its intended end date in November. As of Sunday night, Cash for Clunkers was over, with no extensions in sight. Thanks to red tape and the sheer number of people who used the program to ditch their old car and buy a shiny new one, many dealerships put the brakes on CARS at the end of last week.
What’s next for the auto industry? Let’s hope its an infusion of cash for hybrids, electric cars, trains, public transportation, and — hell, why not? — bike riding safety courses for newbies. That’s my post-CARS dream world; what’s yours? Leave it in the comments.