NHTSA, DOT Announces Decision on Non-Qualified Turn-ins

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SANTA MONICA, Calif. July 30, 2009; Edmunds.com, am online resource for automotive consumer information, pressed the National Highway Traffic Safety Administration (NHTSA) yesterday for an answer on a common issue facing consumers from the Cash for Clunkers program. The U.S. Department of Transportation (DOT) has ruled that cash for clunkers trade-ins based on old mileage numbers and consummated before July 24 will be honored, but deals consummated after July 24 on vehicles that no longer qualify as clunkers due to mileage ratings changes will not be honored.

DOT spokesman Rae Tyson told Edmunds’ AutoObserver.com today that transactions involving clunkers that turned qualified to disqualified will be honored by the government if they were consummated before the July 24 program launch date. Transactions on vehicles that became ineligible as clunkers made after July 24 will not be honored. Vehicles that previously were not eligible as clunkers but became eligible with the EPA changes will be honored if the transactions were consummated after July 24.

“This is only a partial victory for consumers,” said Kevin Smith, Editorial Director, Edmunds.com. “We are disappointed that consumers that purchased vehicles over the weekend before the EPA acknowledged the mileage changes will not have their transactions honored.”