Thursday, August 6, 2009
Cash For Clunkers Bad For Charities
Junkyards all around the country are benefiting from the Government Program "Cash For Clunkers" program, getting a supply of gas guzzlers and selling off taillights, fenders and other parts. Some charities are taking a hit from the "Clunkers"program. Fewer people are donating, as some trade in the car for rebates of up to $4,500 on new, more fuel-efficient models. Winners and losers stacked up Thursday as Senate approved an extra 2 Billion for the initinal $1 Billion program that aims to lift auto sales, reduce carbon emissions and restart the economy. The additional money will boost the number of clunkers to hit junkyards to roughly 750,000 nationwide. Some salvage yards across the country are thrilled about the extra trucks and cars headed their way. Supplies have been scarce during the recession, as motorist held on to there Vehicles longer and those in fender-benders were not making repairs. Many dealers are waiting to destroy the engines and scrap the clunkers until they receive government rebates of up to $4,5oo per vehicle. Once the rebate is in there hand, dealers are following federal rules to ruin or destroy the engine and drive train. The Salvation Army and other charities say that donations are down in July by 25% as drivers keep there vehicles longer. The programs that most charities have sell those "Clunker" cars for a average of $500-$750 mainly to drivers who pay cash for wheels to drive to work or seek a job. The new "Clunker" law is killing poor people who don't have much money and can't afford a new vehicle.
Labels:
cash for clunkers,
Charities,
Congress
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Where are the government rebate program for the charities.
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