Cash for Clunkers Shows Promising Signs for Detroit Dealer

Jay Sturtz, office manager of Village Ford in Dearborn, Mich., reported that on Monday, the first day of the program, his dealership was packed with “double or triple” the normal traffic, and that all 20 of his salespeople had a frantic day.

Sturtz said this led to 16 Cash for Clunkers deals that day, not including the 45 deposits he took in the previous two weeks from car buyers waiting for the program to kick off. He also sold cars to several customers who didn’t qualify for the program but were lured in to make a purchase by other incentives.

Nearly 16,000 auto dealers have registered to participate in the CARS program so far, and the government website, cars.gov, has gotten 1.5 million hits since Friday. This brings the site’s total to 4 million hits since it went up about a month ago, not to mention another 45,000 calls that have landed at the government’s hotline, 866-CAR-7891.

Congress allotted $1 billion for the program (good for about 250,000 vehicles), but that money will expire Nov. 1 if it hasn’t all been used. Transportation Secretary Ray LaHood said the administration hasn’t decided if it will seek additional funds if the program proves a success.

Metro Detroit Auto Dealers Busy as ‘Cash for Clunkers’ Begins (Detroit News)