President Obama signed into law a program the Car Allowance Rebate System (CARS) or Cash for Clunkers. This is a program that helps you purchase a new, more fuel efficient vehicle when you trade in a less fuel efficient vehicle.
NOTE: Government Program ended on Aug 24th, since it was wildly successful dealers are still accepting applications. Read below for details.

Benefits you will get
1. You can get $4,500 if new car is 10 MPG more fuel efficient than the older car
2. You can get $3,500 if new car is 4 MPG more fuel efficient than the older car
3. This bill sets aside $4 billion for 'Cash For Clunkers' program
4. You may trade in or buy a domestic or a foreign vehicle

Who is eligible?
1. Only purchase or lease of new vehicles will qualify
2. Clunkers eligible for the program must get 18 MPG, or less
3. Must hold a valid legal title to the car seeking to trade in
4. Registered to the same owner for the full year preceding the trade-in

Who is NOT eligible?
1. Cars that have not been insured for the past year
2. Cars that are older than 25 years & not later than model year 2001
3. Cars not in drivable condition
4. New Car manufacturer's suggested retail price cannot exceed $45,000

What should you do? Use the following resources to qualify.
1. The law requires dealers to be registered to participate in the program.
2. Use this Free Online Tool to Qualify & Save instantly.
3. Note: You are not obligated to buy the new car.
4. Remember Program Ends on November 1, 2009 or when funds get exhausted.