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Car dealers have demanded to cancel awards for used cars

The automobile dealer

The national association of the American autodealers (NADA) has demanded from the government of the USA to terminate the program on payment of awards for autoscrap metal.

The discontent of the companies with delays of payments of indemnifications with the state became a principal cause of such initiative. As informs CNN, state employees have not time to process the documentation and all three and a half a week of action of this program, the majority of dealers gave threw off the price for cars on own account. According to some information, the program can already close in September, writes The Fox News.

About half of New York autodealers (200 from 425) have already declared the termination of sale of cars at a discount, carried out within the limits of the governmental program. Now the government has returned means only on two percent of demands of the companies on indemnification. According to a management of dealers, three billions the dollars allocated with the government, can not suffice on payment of indemnifications. Some companies have stopped participation in the program because of a lack of the finance — giving discounts, dealers sometimes had to sell cars at a loss to themselves.

According to the secretary of the ministry of transport of the USA (Ray LaHood), dealers do not need to be upset. He has declared, that 1000 persons are engaged in documentation registration nearby. As informs referring to LaHood agency Bloomberg, about 85 percent of all demands of dealers are incorrectly issued also them it is necessary to return, it and causes delays.

As it was informed earlier, since July, 24th in the USA the program of awarding of buyers of new cars according to which in breakage Americans receive a bonus for delivery of the old car at a rate of 3500-4500 dollars has taken effect. As of August, 19th autodealers have processed 435 thousand demands for a total sum of 1,81 billion dollars.

Photo by: globalgiants.com