‘Cash for Clunkers’ scams hit before program begins

by Jennifer Johnson • Daily News
Published/Last Modified on Thursday, July 2, 2009 3:19 PM CDT

Within days of President Obama passing the "Cash for Clunkers" program into law, reports of scams have already started to crop up.

Last week, Obama signed the newly-named Car Allowance Rebate System (C.A.R.S.), which allows consumers up to $4,500 in credit when they trade-in an older vehicle or truck. Now, scammers are creating Web sites directing visitors to pre-register and offer up their Social Security numbers to quality for vouchers.

Steve Krause, general manager of Dakota Chrysler Center in Wahpeton, said he understands the vouchers will be paid to the dealership, where consumers should go first.

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"A lot of the perimeters and stipulations are not ironed out yet," he said. "It's just too early to know."

According to Consumer Affairs, people should skip sites that may look official but ask for personal information, such as "Cash for Clunkers Headquarters." No voucher is needed for the program and sign-up is not required. The legitimate site for the new program is www.cars.gov.

Randy Hovde, sales manager at Smith Motors in Wahpeton, said the information he's received is quite vague but more should be forthcoming in late July or early August.


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Comments

    xnniu wrote on Jul 4, 2009 7:22 AM:

    " We all saw this one coming. "


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