It appears that a U.S. "Cash for Clunkers" program is right around the corner now that President Obama and the U.S. House of Representatives have come to an agreement on how the bill should be structured. However, it's not a done-deal yet, as the legislation still needs to get through Congress.

Details remain sketchy for now, but under the proposed legislation, new car buyers trading in an older vehicle that averages 18 miles per gallon or less will qualify for a voucher that's worth $3,500 if the new car gets at least 22 mpg and up to $4,500 if the new car manages at least ten mpg higher than the "clunker."

Trucks would also qualify for a voucher of $3,500 if the new vehicle gets at least two mpg better than the old one or $4,500 if the new truck manages five mpg better than the trade-in.

Unlike some previous proposals, both foreign and U.S.-made models would qualify for the program. It's not yet clear how the bill would be funded, but it would reportedly be available for one full year and up to one million total new vehicles.

[Source: Detroit Free Press | Photo by Project 404, CC2.0]

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