Local dealer to continue 'Cash for Clunkers' on his own

EUCLID -- At least one local auto dealer is continuing the "Cash for Clunkers" program on his own, offering incentives similar to the government's but loosening the restrictions.

Rick Case Honda is hoping to take advantage of the momentum caused by Cash for Clunkers, in which more than 690,000 people nationwide bought new cars in one month.

"We sold over a thousand cars for clunkers, so Rick Case came up with an idea to get people involved that weren't able to get involved," says Corky Allison, general manager of the Euclid dealership.

"I see it has spurred the market because the traffic, other than the clunker sales, has increased for us," he tells WKYC.

Rick Case will offer up to the same $4,500 incentive as the Cash for Clunkers program, which expired Monday, did.

However, people will have to prove their trade-ins were registered and insured for only the last six months. The government program specified one year.

"We also will use our version of the program, when a customer upgrades at least 2 miles per gallon from their trade-in," Allison said. The government program had broader restrictions.

Honda Civics were the second most popular car purchased by customers during the duration of Cash for Clunkers. The Toyota Corolla was tops and the Camry third.

The Ford Focus was the fourth most popular car purchased.

The Rick Case lot in Euclid normally has 250 new cars for sale.

Today the number was down to about 35. Allison says about 40 percent of those sales were to people who did not have a qualifying Cash for Clunker trade in.

"I think the consumer is getting a little more confident in being able to buy a car. And bottom line, I think people are kind of tired of being sick and tired," he said.

"We've heard so much negative over the last couple years, I think this is going to be a big boost for a lot of people."

Some other local dealers reported showroom traffic slowed down after Monday. Many dealers were concerned about rebuilding their depleted supply of new cars.

Even with factories adding shifts and increasing production, some dealers were anxious that there might be a slight lag in rebuidling inventory.

Some customers interested in new vehicles were encouraged to put in a factory order to ensure they would be able to buy a new car.