The Donate A Car Program

"Cash For Clunkers"

The "Cash for Clunkers" donate a car program clunked to an early shutdown in the summer of '09, due to running through the money like cheese through a goose.


And at a max rebate of $4500, the cheese was runny indeed. Admittedly, this was a big incentive to sign up, especially considering a similar program in Canada had a max payout of $300. So it's not surprising that the money was gone in short order; in about two months the fund was broke and so was the program - before even reaching the 'halfway' point.

Part of the purpose of the program was to get older gas-guzzlers off the streets, but the main reason was to stimulate the failing U.S. auto industry. And the auto industry needed help more than ever:  The Wall Street crash in late '08 with the resulting decline in consumer spending made the industry take a massive hit.

But as it turns out, the "Cash for Clunkers" program did manage to stimulate not only the U.S. auto industry, but it also helped the auto industries overseas to some degree. And Japanese imports enjoyed a surge in sales as consumers who got a rebate for their car donations could suddenly afford the down payments. The Canadian auto industry actually saw a boost in sales as well, as production of some American cars over there saw higher demand.

So the donate a car program has shown that the world has become a small place indeed; the boost in car sales worldwide proves that the U.S. economy is also the World economy. Vehicles purchased with the rebates spurred the auto industry worldwide. Think of all the jobs affected by car sales: Plastics manufacturing, petroleum for the plastics, aluminum, steel, electronics, - the list goes on and on - thousands of items and jobs to make just one car.

So the donate a car program turned out to be a good thing after all, albeit a  short-lived one.  It got rid of a good chunk of clunkers and bolstered the auto industry - and in the process - the world economy to some degree.

One good way to donate your car - no matter if it runs or not - is to the "Car for Homes" program run by Habitat for Humanity.    They take the money from either selling you car outright, selling the parts, or selling it to a junkyard and build homes for the needy. Your old vehicle must have a title, but other than that, they will arrange towing if it's found to be worth more than the cost of towing.