After months of declining car sales and closing dealerships, the auto industry may be getting a second wind. With the success of “Cash for Clunkers”, car sales are on the rise.

Officially known as the Car Allowance Rebate System, the program rewards people for turning in older gas guzzlers for new, more fuel efficient vehicles. Americans across the country can get a $3,500 to $4,500 voucher to replace their clunker. The exact credit depends on how much more fuel efficient the new vehicle is.

Editors at Edmunds.com have been flooded with questions from readers about who and what qualifies for the program. And despite a number of rules and regulations, experts say “Cash for Clunkers” has been the most successful of all the government stimulus plans this year.

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Kia Motors America (KMA) today announced that consumers in need of a new vehicle will be able to choose from a total of 12 eligible Kia models (85 percent of full lineup) that qualify for up to a $4,500 rebate. Under this new buyer incentive program consumers can purchase a new, more fuel efficient Kia vehicle when they trade-in a less fuel efficient car or truck of any eligible make or model.

National Highway Traffic Safety Administration (NHTSA) guidelines indicate that consumers may earn $4,500 with the purchase of a new car with an increase of 10-plus miles per gallon (mpg) or may earn $3,500 with an increase of four-plus mpg when they trade in a car or SUV with less than 18 mpg combined. For SUVs, five-plus mpg may earn $4,500 and two-plus mpg may earn $3,500. New passenger cars purchased under the program must get a minimum combined fuel economy of 22 mpg while new light-duty trucks or SUVs must get at least 18 mpg combined fuel economy to qualify.

In accordance with the NHTSA, retailers that are enrolled in the program will process transactions using program guidelines and apply appropriate credits at the time of purchase. The following details the official government criteria for trade-in rebates:

• Trade-in vehicles have been manufactured less than 25 years before the date of trade-in
• Trade-in vehicles must have a federal combined city/highway fuel economy of 18 mpg or less
• Eligible vehicles must be in driveable condition and have been continuously insured and registered to the same owner for at least one year
• Vouchers are not necessary; dealers will apply a credit at the time of the purchase

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