Cash for Fridges

Cash for Appliances is the new Cash for Clunkers, but you don’t have to trade in your old washer and dryer. This time around, the stimulus package is offering consumers a rebate of between $50 and $200 for purchasing an appliance that Energy Star rated. The new program is to begin in the late fall, sometime around end of October or beginning of November, and is supposed to promote energy efficient purchases. With home sales beginning to turn around, now might be the perfect time for a program like this to work.

Of the $300 million assigned to this program, experts believe the bulk of it will be gone by the end of November.

“These rebates will help families make the transition to more efficient appliances, making purchases that will directly stimulate the economy,” Energy Secretary Steven Chu said in a statement announcing the plan. (Business Week)

According to the article, only 55% of the appliances purchased in 2008 were Energy Star rated, which actually surprises me because the amount of money that you save on your power bill every month more than makes up for the price of the appliance. If people just understood that energy efficient appliances pay for themselves, and then some, in no time at all more people would buy Energy Star rated appliances. Perhaps this Cash for Appliances program will push people in the right direction.

Many financial experts are truly hoping that this program will push consumer into buying and will add an extra boost to the economy. Appliance sales companies like Whirlpool and GE are struggling more now than ever. Last year appliance shipments were down 10%, and in 2009 they are already down 15%.

We’ll keep you updated on when the Cash for Appliances program actually begins, and how you can cash in.

For information on how to get out of debt during these rough economic times, check out http://www.thedebtsettlementprogram.com.