Any car dealer that gives a consumer the CARS credit on a new car sales on July 1st runs the risk of complicating their reimbursement process. Don’t take our word for it, read what is posted on the NHTSA website.
Here is the exact wording placed in the official CARS website, http://cars.gov:
“While the CARS Act makes transactions on and after July 1 potentially eligible for credits under the CARS program, interested dealers and consumers may want to wait until all of the detailed issues that must be addressed in the implementing regulations are resolved and the final rule is issued. Issuance will occur around July 23.
At that point, NHTSA will have in place detailed provisions about establishing eligibility and a system to ensure the prompt payment of money for credits used under the CARS program.
If dealer choose to structure a transaction before the final rule is issued, they will bear the risks associated with later demonstrating that the transaction meets all of the specifications of the final rule. The dealers should also give the credit to the consumer at the time of such transaction.
The dealer would be reimbursed by NHTSA later if the dealer registers and submits documentation sufficient to demonstrate that the transaction was an eligible one, that the traded in vehicle was properly disposed of, and that all requirements in the final rule were met.”
This is an excerpt from a PDF document on the official CARS website. Click here to read full document.
Prepare Your Staff For Consumers Rage
I recommend that all car dealers take a moment to read through some of the comments that our website has been getting on the bill. This will give you some advance warning on some of the hot topics on the bill. Also, keep in mind to remind consumers that the NHTSA does not set the rules for the program. That was set by Congress.
Read our SPEAK UP