Beware Fake "Cash for Clunkers" Sites

Gov't Warns Of Possible Fraud As Unofficial Web Sites Seek Info From Consumers Trading-In Gas-Guzzlers

(CBS/AP)  The government is warning consumers to be wary of unofficial "cash for clunkers" Web sites that seek personal information or direct consumers to pre-register for the program.

The National Highway Traffic Safety Administration says dealers and consumers do not need to pre-register for the program, which provides $3,500 to $4,500 to people who trade in gas-guzzling cars and trucks for a new, more fuel-efficient vehicle.

The voucher program aims to generate about 1 million new auto sales, while also increasing fuel-efficiency of the overall fleet of cars on American roads.

Traffic safety spokesman Rae Tyson says the government has an official site for the program at www.cars.gov.

Tyson says some Web sites have offered pre-approval sections that request a consumer's Social Security number and other personal information.

The traffic safety administration has given information about these unofficial sites to the Justice Department's Internet Fraud division.

The program will run from July 1 to November 1.


For more info:

To learn more about whether your vehicle would qualify under the bill's current terms, and for how much, click here.

© MMIX, CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.

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Add a Comment

by hypnotoad72 June 24, 2009 9:45 PM EDT

Except this plan is only valid for cars/trucks/suvs doing 18MPG or lower. Someone with a 10 year old car that gets 19-25MPG and is eyeballing a 40MPG hybrid is SOL.

Most cars don't go as low as 18. SUVs, hummers, and other pop culture garbage do.

That's why the program is stupid; the cap is too low. It should be 22 if not 25MPG.

Reply to this comment

by tmittelstaed June 24, 2009 9:01 PM EDT

The cash for clunkers program is not going to generate that kind of interest. It is a worthless program for someone who, for example, owns a minivan and wants a new vehicle, because the new van isn't any more fuel efficient than the old one. It's only good for people with large cars who are downgrading to small cars. And the demand for the car to be in running order is just mean-spirited. If someone has kept insurance on a car for the last year then that should be plenty sufficient.

Most people aren't going to willingly take on $15-$20 thousand dollars more debt in this economy. By contrast, a lot of people who's cars break down and are looking at the choice between buying a used car and paying to repair their car, might be enticed into taking on that kind of debt through the cash-for-clunkers program and just buying a new car. They have to spend the money no matter what - their existing car isn't running - and so they have to buy a replacement car. This program might be enough incentive to get them to buy a new car instead of another used one.

It was also really stupid to require all cars traded in on this program to be crushed. If a used car getting 25mpg is traded in for a new hybrid getting 40mpg, why not just let the used car go on to the used market? Most likely, whoever is going to end up buying it will be replacing a SUV or something getting worse mileage. They should only be crushing the used cars, like SUVs, that get bad mileage.

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[hypnotoad72]

Except this plan is only valid for cars/trucks/suvs doing 18MPG or lower. Someone with a 10 year old car that gets 19-25MPG and is eyeballing a 40MPG hybrid is SOL.

Most cars don't go as low as 18. SUVs, hummers, and other pop culture garbage do.

That's why the program is stupid; the cap is too low. It should be 22 if not 25MPG.

[tmittelstaed]

The cash for clunkers program is not going to generate that kind of interest. It is a worthless program for someone who, for example, owns a minivan and wants a new vehicle, because the new van isn't any more fuel efficient than the old one. It's only good for people with large cars who are downgrading to small cars. And the demand for the car to be in running order is just mean-spirited. If someone has kept insurance on a car for the last year then that should be plenty sufficient.

Most people aren't going to willingly take on $15-$20 thousand dollars more debt in this economy. By contrast, a lot of people who's cars break down and are looking at the choice between buying a used car and paying to repair their car, might be enticed into taking on that kind of debt through the cash-for-clunkers program and just buying a new car. They have to spend the money no matter what - their existing car isn't running - and so they have to buy a replacement car. This program might be enough incentive to get them to buy a new car instead of another used one.

It was also really stupid to require all cars traded in on this program to be crushed. If a used car getting 25mpg is traded in for a new hybrid getting 40mpg, why not just let the used car go on to the used market? Most likely, whoever is going to end up buying it will be replacing a SUV or something getting worse mileage. They should only be crushing the used cars, like SUVs, that get bad mileage.