'Cash for Clunkers' Program Apparently Suffering From Its Own Success

Jack Fitzgerald, who owns several dealerships in the Washington region, said his stores have already taken in about 200 clunkers. He said the government hyped the program too much before setting clear rules and guidelines on it. He suggested that the government consider lowering the dollar amount of the vouchers and extending the program for more time.

Tammy Darvish, another major auto dealer in the Washington area, said her more than two dozen dealerships have had lots of interest in the program but its success has left dealers strapped for money as they wait for payments from the government.

Under the program, dealers credit the amount of the voucher to customers who buy new cars. They then get reimbursed by the government.

"There's a whole lot of money out there that dealers haven't collected on," said Darvish, who noted that she's taken in about 200 clunkers. "We've sold the cars and we've processed the paperwork, but we haven't been reimbursed. I'm out about $1 million. The government is supposed to reimburse me for that."

Darvish said she expects that even more customers will come in over the weekend to trade in their cars.

Staff writers Ben Pershing, Sholnn Freeman, Paul Kane and Scott Wilson contributed to this report.