700K Cars Sold Under Clunkers

(NEWSER) - The government’s Car Allowance Rebate System—the “Cash for Clunkers” plan—goes into effect today, but it might not be such a good deal for you or the environment, Elisabeth Leamy and Nathalie Tadena write for ABC News. New-car buyers who trade up more than 4mpg in mileage get $3,500; make it 10 mpg and you get $4,500. But you could also skip the credit, buy a perfectly good used car, and save more than $10,000. More»

Recall leaves company's reputation in tatters

(NEWSER) - Toyota is going to have to shell out for the biggest and best ad campaign in its history to have any hope of bouncing back from the recall disaster, ad industry execs say. The company—which is losing an estimated $400 million a week while sales and production are suspended—has suffered a multi-billion dollar blow to its brand and its future will hinge on how it responds, analysts tell Advertising Age . More»

(NEWSER) - Just as the "cash for clunkers" program sparked a boom in auto sales, its cancellation will likely depress the industry, CNNMoney reports. As of today, the last day of the government-funded incentive, rebate applications for 625,000 trade-ins totaling $2.58 billion had been submitted. “We're definitely going to have a hangover,” a dealer says. “I think you're going to be able to shoot a cannon through here and not hurt anybody.” More»

(NEWSER) - Cash for Clunkers revved into overdrive during its final weekend, the New York Times reports. After Thursday’s announcement that the Car Allowance Rebate System would end tomorrow at 8pm, consumers across the country raced to dealerships, resulting in long lines, epic haggling sessions, and hours of overtime work. “Everybody who was thinking about it is rushing through the door,” a salesman says. “The only problem is we’re running out of cars.” More»

(AP) - The Obama administration will end the $3 billion Cash for Clunkers program at 8pm Monday, giving car shoppers a few more days to take advantage of big government incentives. Dealers have complained about sluggish reimbursements, but Transportation Secretary Ray LaHood said the program has been "a lifeline to the automobile industry, jump-starting a major sector of the economy and putting people back to work." More»