Cash for Clunkers- New Info : Update

Cash for Clunkers- New Info:
Process for Dealer Registration
· NHTSA will send out a dealer letter with a unique dealer code for each dealership, which will arrive by July 15.
· If dealer does not get their letter by July 20th, they should call 1-866-CAR-7891.
· Dealers will not be able to register until July 24th and they will need to provide some additional information as part of the on-line registration process including Federal Tax ID and Bank account information.
· It will take 2 – 3 business days (at a minimum) for NHTSA to confirm the dealer and officially register them.
· Dealers will not be able to start making claims under the program until their registration is complete, which is, under best case circumstances, would be July 27th.
Dealer Claiming Process
· While all the details have not been worked out, they will require the dealer to complete an online application for each customer and upload the necessary paperwork directly to the web site.
· Some of the paperwork that may be required includes buyer information, VIN’s, MPG for both the clunker and new vehicle, registration, proof of insurance, title, certificate from disposal facility, NHTSA provided Summary of Transaction worksheet, MSRP, details of all related rebates and potentially other key paperwork
· Once the dealer uploads the documents, it will be reviewed by NHTSA. Once it is reviewed, the dealer will receive confirmation and funds within 10 days of the claim. Additional details will be provided with final rules.
Proof of Insurance
· NHTSA has spoken to several major insurance companies and have asked if they would be able to provide a customer with proof that a vehicle was continuously insured over the prior 12 months, as many customers may not have 12 months of statements. The Insurance companies indicated that they would provide this to the customer on request. NHTSA recommended that customers obtain this information prior to going to the dealer, which is reflected on the CARS.GOV web site.
Other Details
· Dealers are responsible to disclose the scrap value of the trade-in to the customer. Although the exact method to do so has not been determined, it was clear that the disclosure would have to be in writing and could be included as part of NHTSA’s “deal sheet” which is under development.
· Dealers and disposal entities were advised to anticipate audits from NHTSA and should be prepared to comply with information requests, etc.
· Dealers, customers and Disposal companies will all be required to certify that that are comply with the law to be eligible.

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