Details remain sketchy for now, but under this 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 10 mpg higher than the "clunker." Trucks would also qualify for a voucher of $3,500 if the new vehicle gets at least 2 mpg better than the old one or $4,500 if the new truck manages 5 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 a full year and would help purchase up to one million total new vehicles.
[Source: Detroit Free Press | Photo: Tommy Draper]