Cash For “Clunkers” Isn’t Over Yet

Thought the cash for clunkers program was over?  You’re only partially right.  While it’s no longer possible to get FREE money for your old piece of junk sitting in the driveway, you’ll soon be able to cash in on that twenty year old refrigerator that’s been making funny noises in your kitchen.

This year’s stimulus bill funded a little-known, $300 million program that will offer rebates of varying amounts to buyers of energy-efficient appliances and other products that carry the “Energy Star” label.  This would include freezers, refrigerators, water heaters, furnaces and central air conditioners.  But unlike ‘Cash for Clunkers’, you probably won’t have to drag your old appliance into the store to get money for a new one.

The rebate programs are being run by the states, and the details are still being worked out, but as you’ll see by this short video, the retailers who are supposed to implement the program don’t quite know how it’s going to work.

In order to participate in the program, states had to send request letters to the Department of Energy by August 15th.  As far as I know, Pennsylvania opted to send the required letter.  Within a short period of time, PA will receive about ten percent of their total allotment to help develop the program.  Then by October 15th, we need to inform the government of what products would qualify and how much each individual rebate would be worth.  The consumer should start seeing rebate programs in stores later this year or early next year.  Most people seem to think that the rebate checks will fall within the $50 to $200 range.

Just like the automotive cash for clunkers program, the goals of the federal government are similar; stimulate the economy by spurring new appliance sales and reduce energy consumption to save families money on their energy bills which will in turn improve the environment.

So if you’re planning on purchasing a new appliance for your home, you may want to consider waiting a couple of months until this new program kicks in.

Related articles of interest:

• Cash for Appliances: The New Clunkers (abcnews.go.com)
• Coming Soon – Cash For Clunkers: Home Appliance Edition [Rebates] (consumerist.com)
• A Neutral, Efficient, 60-Square-Foot KitchenHouse Beautiful (thekitchn.com)
• Cash For Clunky Appliances Coming Soon (businesspundit.com)