BELLEVILLE -- Elizabeth Vigna was not planning to get rid of her 1985 Chevrolet Suburban, but the government's offer was too good to pass up.
Vigna got a $4,500 rebate for her vehicle and bought a 2009 Dodge Avenger on Tuesday from Oliver C. Joseph Chrysler-Dodge in Belleville.
"It was bittersweet because I love my old truck," Vigna said. "It had been in our family for a long time. My husband's dad owned it before we did and took really good care of it. It's still running like a champ, but it's just too good of a deal to pass up, right. I love the Avenger that we got."
Vigna and others have filed into the dealership since last weekend to take advantage of the CAR Allowance Rebate System -- a $1 billion government program created to help consumers buy or lease more environmentally friendly vehicles from participating dealers. Consumers can receive a discount of between $3,500 and $4,500 for their "clunker."
Oliver C. Joseph General Manager Brad Joseph said the government rebate has suddenly sparked more business at his dealership. He said he has not seen this much interest since the PT Cruiser was introduced.
"I have not seen anything like it in a long, long, long, long time," Joseph said. "The showroom is full. It was so full on Saturday that we couldn't wait on all of the customers that were here. We couldn't talk to all of them. It's had a tremendous interest, but everybody doesn't qualify. It's not a good program for everybody."
The program officially began July 1 with dealerships registering for rebates that are now being offered. General criteria for the government program are:
* Trade-in vehicles must be less than 25 years old on the trade-in date.
* Only purchase or lease of new vehicles qualify.
* Trade-in vehicles must get 18 or fewer miles per gallon (some very large pick-up trucks and cargo vans have different requirements).
* Trade-in vehicles must be registered and insured continuously for the full year preceding the trade-in.
The response at Meyer Honda in O'Fallon also has been strong, said sales representative Dave Pusa, but he said many customers are not aware of the requirements.
"You have to have a full year on continuous insurance and registration has to be in that person's name," Pusa said. "So if your dad is giving you his old beater, he has to be the one to qualify."
Jamie Auffenberg, who sells Ford, General Motors, Mazda, Volkswagen vehicles in O'Fallon and Belleville, said he and other dealers also need to be careful in following the government's requirements for this program.
"We want to make sure we don't go out of business doing business," Auffenberg said. "You're selling cars there for a $4,500 government allowance that you've got to make sure you qualify for. There is a $15,000 penalty if you don't do it right. The upside is you are selling a car. The downside is it's (a total of) $19,500 every time you don't do it right. You have to sell many cars to make up $19,500."
In Glen Carbon, Cassens & Sons Chrysler-Dodge Vice President and General Manager Larry Wehmeyer said the rebate program has doubled business at the dealership.
"It certainly has created a large influx of business," Wehmeyer said. "I think it's been received really well."
Every vehicle traded in for rebate will be scrapped.
"I hate to see it turn into a ball of metal," Vigna said about her Suburban, "but I'm happy that I got a new car."
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