The Industry's Leading Source For F&I, Sales And Technology

Special Finance®

GM Provides Dealers With Advances for Cash for Clunkers

August 20, 2009

General Motors said today that it will begin providing cash advances to cover its dealers' Cash for Clunkers rebates until they are reimbursed by the government.

The move is in response to dealer complaints about non-payments from the program, which began in July. GM officials said the company intends to provide these advances for qualifying new-vehicle sales already transacted under the CARS program, and will provide advances going forward as long as the CARS program is in effect.

"Our sales performance in the past two months has exceeded our internal forecast by over 60,000 vehicles, largely driven by the CARS stimulus program," said Mark LaNeve, vice president of U.S. Sales. "We want to do all we can to provide customers with timely new-vehicle deliveries and dealers the liquidity they need to run their businesses. This will continue the sales momentum of our new fuel-efficient vehicles such as the Chevrolet Cobalt, Equinox and Buick Enclave."

Your Comment

Please note that comments may be moderated. 
Leave this field empty:
Your Name:  
Your Email:  



N.Y. Dealers Consider Pulling Out of ‘Cash for Clunkers’

Many New York franchised, new-car dealers are in talks to end the ‘Cash for Clunkers’ program over concerns the federal government is not approving transactions and reimbursing dealers in a timely manner, according to the Greater New York Automobile Dealers Association (GNYADA), an organization which represents 450 franchised new car dealerships in metro New York.