Con artists might be taking advantage of the “cash for clunkers” program, the Southern Colorado Better Business Bureau warned Wednesday.
The bureau said that con artists are trying to obtain consumers’ personal information and Social Security numbers by claiming they’ll give the consumer a voucher for $3,500 or $4,500 under the cash for clunkers program or have their names added to an application list.
The program, officially called the Car Allowance Rebate System, provides owners of qualified cars a credit of either $3,500 or $4,500 to be deducted from the sticker price of a new, more-efficient vehicle.
Under the program, the government reimburses the dealer for the credit; the consumer does not get the cash.
Carol Odell, chief executive of the Southern Colorado BBB, said Colorado consumers haven’t filed any complaints yet, but “there are scams like this in other parts of the country, so we just need to be aware.”
The BBB offers the following tips about the CARS program:
• Don’t do business with anyone offering a money order, check or direct deposit.
• Find out the current value of the car; if it exceeds $4,500, selling it or using it for a normal trade-in may be more beneficial.
• Know the scrap value of the car and know that dealers are required to give consumers a scrap-value estimate.
• Protect your personal information and understand contracts before signing.
Sara Castellanos: 303-954-1381 or scastellanos@denverpost.com
