Whats the only good to come of Cash for Clunkers?

[mattf 5,000+ posts]

man, you are so off base. its pretty sad. cash for clunkers did nothing for me. I don't care about the program one bit. I do know plenty of car dealers that worked the program brilliantly. others didn't. That's just like any other opportunity we get in life, either you can make it work for you or it will work against you. Hell that's capitalism at its finest.

Cash for clunkers is not capitalism.

 

[kfx450r 10+ year member]

..what i said is the truth, and everyone whos not retarded knows it..but everyones too scared to admit it, people slap racism on anything they want to these days like they have that authority or something. As long as they think it is, it is according to them.

 

[l7runner 10+ year member]

x2, just ignore thegreatestpenn..truth of the matter is black people support obama because hes black, the majority dont give a shit what hes doing or what hes not, they could care less about the truth because their blinded by their black eyelids.
/rage on

And even more people dislike anything Obama does simply because he is black.

 

[mgcauctions09 10+ year member]

Like our country had the money for extra programs to begin with! That program along with obama is full of fail.........This country is going to hell quick!

 

[mgcauctions09 10+ year member]

And even more people dislike anything Obama does simply because he is black.

Name some great things he has done for this country so far! Have you noticed any big changes that affect your life personally? He knows 2 things, how to help the gun market and how to spend chinas money!

 

[mgcauctions09 10+ year member]

I think Cash for Clunkers will come back to haunt whoever pushed it into legislation. One of the most misguided and ill-logical concepts I've heard of.
People who drive a clunker and have to buy a new car to cash in their clunker for a discount on the new car most likely can not afford a new car in the first place, I'm sure a majority of cars will come back to the dealerships/lenders by mean of lien repossession.

Seriously, when you drive a clunker worth essentially nothing, and want to get a new car on a loan with a 4500 dollar discount off sticker price, in this economy and job market, just put 1 and 2 together.

It's obvious what will happen to a majority of the new cars...

Cash for clunkers is just a temporary bandage for the auto industry, that bandage will ultimately become contaminated, and leave behind yet another infection in the market.

Exactly, I was telling my wife the other day that we needed to start a repo business. I would have to build another house to keep all the money I will be making within the nest 4 years!

 

[mgcauctions09 10+ year member]

lol...government bailout for auto industry = giant fuck you to the financial industry(banks)

Yes, it is a never ending cycle...... we will be "bailing" the financial institutions out soon!

 

[galacticmonkey 5,000+ posts]

lol...government bailout for auto industry = giant fuck you to the financial industry(banks)

Obama Administration = A fuck you to America. //content.invisioncic.com/y282845/emoticons/fyi.gif.9f1f679348da7204ce960cfc74bca8e0.gif

 

[Crownvicon28s 10+ year member]

BushAdministration = A fuck you to America. //content.invisioncic.com/y282845/emoticons/fyi.gif.9f1f679348da7204ce960cfc74bca8e0.gif

This is right

 

[galacticmonkey 5,000+ posts]

This is right

Bush spent too much money in his 8 years. Now Obama has spent already 4x as much as Bush in his time in office.

You do know that we are almost $12,000,000,000,000 in debt, right? And we are spending $500,000,000 a day in debt interest? And Obama isnt stopping the spending any time soon?

 

[Crownvicon28s 10+ year member]

Bush spent too much money in his 8 years. Now Obama has spent already 4x as much as Bush in his time in office.
You do know that we are almost $12,000,000,000,000 in debt, right? And Obama isnt stopping the spending any time soon?

Takes money to make money. //content.invisioncic.com/y282845/emoticons/wink.gif.608e3ea05f1a9f98611af0861652f8fb.gif Bush spent that money on a mostly unnecessary war now Obama is trying to clean up his disaster of a mess, but cash for clunker or whaterver it was was a bad idea.

 

[Crownvicon28s 10+ year member]

Bush spent too much money in his 8 years. Now Obama has spent already 4x as much as Bush in his time in office.
You do know that we are almost $12,000,000,000,000 in debt, right? And Obama isnt stopping the spending any time soon?

Takes money to make money. //content.invisioncic.com/y282845/emoticons/wink.gif.608e3ea05f1a9f98611af0861652f8fb.gif Bush spent that money on a mostly unnecessary war now Obama is trying to clean up his disaster of a mess, but cash for clunkers or whaterver it was was a bad idea.

 

[blfuller123 10+ year member]

If you traded in a clunker worth $3500, you get $4500 off for an apparent "savings" of $1000. That is, you could have gotten $3,500 if you had just traded the car in. So you just really are $1,000 ahead at this point.

However, you have to pay taxes on the $4500 come April 15th (something that no auto dealer will tell you). If you are in the 30% tax bracket, you will pay $1350 on that $4500.

So, rather than save $1000, you actually pay an extra $350 to the feds. In addition, you traded in a car that was most likely paid for. Now you have 4 or 5 years of payments on a car that you did not need, that was costing you less to run than the payments that you will now be making.

But wait, it gets even better: you also got ripped off by the dealer. For example, every dealer Atlanta was selling the Ford Focus with all the goodies including A/C, auto transmission, power windows, etc for $12,500 the month before the "cash for clunkers" program started.

When "cash for clunkers" came along, they stopped discounting them and instead sold them at the list price of $15,500. So, you paid $3000 more than you would have the month before. (Honda, Toyota , and Kia played the same list price game that Ford and Chevy did).

So let’s do the final tally here:

You traded in a car worth: $3500

You got a discount of: $4500

---------

Net so far +$1000

But you have to pay: $1350 in taxes on the $4500

--------

Net so far: -$350

And you paid: $3000 more than the car was selling for the month before

----------

Net -$3350

We could also add in the additional taxes (sales tax, DMV, licensing etc.) on the extra $3000 that you paid for the car, along with the 5 years of interest on the car loan but let’s just stop here.

So who actually made out on the deal? The feds collected taxes on the car along with taxes on the $4500 they "gave" you. The car dealers made an extra $3000 or more on every car they sold along with the kickbacks from the manufacturers and the loan companies. The manufacturers got to dump lots of cars they could not give away the month before. And the poor consumer got saddled with even more debt that they cannot afford.

The governments merry men convinced Joe consumer that he was getting $4500 in "free" money from the "government" when in fact Joe was giving away his $3500 car and paying an additional $3350 for the privilege.

 

[Rmsanger 10+ year member]

Bush spent too much money in his 8 years. Now Obama has spent already 4x as much as Bush in his time in office.You do know that we are almost $12,000,000,000,000 in debt, right? And we are spending $500,000,000 a day in debt interest? And Obama isnt stopping the spending any time soon?

Whoa there nukka, I'm against the crazy spending by the current admin but.... I would love to see any sort of proof/documentation to support the above mentioned statement? You're saying that Obama in under 1 year has spent more in total than Bush did in 8? I find this hard to believe this!

http://www.federalbudget.com/

See linked chart of budget deficit trending and the first thing I notice is that the trend is very similar to Bush's with maybe a little uptick.