Car Allowance Rebate System Question?
February 9, 2010 by admin
Filed under Ikofx | Forex Stories
Does any one know anything about this remission program? If the car you wish to traffic in still has a loan on it, does it still validate for this program?
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Unfortunately no. The vehicle has to be titled and insured in your name (not the lien holder’s) for at least 1 year. The idea behind this is to stop people from buying an old gas-guzzler one day and then turning it in for a credit the next. Someone could make a business off the government’s back of buying new cars and turning around and selling them because they just bought it at $4500 below the dealer’s best price. This rule eliminates this possibility.
There is alot of info at the program’s website… cars.gov
Taken from CARS.GOV website…applicable vehicle “has been continuously insured consistent with the applicable State law and registered to the same owner for a period of not less than 1 year immediately prior to the trade-in.”
So you see, if you owe money on the vehicle, you are not the owner until it’s paid off. The finance company or bank is.