If you are dring around in an old polluting car, now is the ideal time to trade it in for a more fuel-efficient, less-polluting vehicle. Starting yesterday, October 20, the scheme called “Plan Renove 2020” is part of a 3.75€ billion government initiative to stimulate the automobile industry while getting older cars off the road.
When trading in their older vehicle for a new car, buyers can get between 400€ and 4,000€ off the sticker price.
Here’s what you need to know:
The amount of money you will save depends on several factors that include the car you scrap and the one you buy.
Zero-emission electric cars come with a 4,000€ government subsidy along with a 1,000€ subsidy from the manufacturer.
Hybrid cars qualify for a rebate of 600€, while those new cars with higher emissions warrant just 400€.
Money is also available for new vehicles that are in the top 45% of less polluting vehicles on the road.
To take advantage of the savings, the new car’s price cannot exceed 35,000€ rising to 45,000€ if it is electric or adapted for people with reduced mobility.
New car buyers will receive an additional 500€ rebate if the car being scrapped is over 30-years-old or if the purchaser has an income of less than 1,500€ a month or is registered as disabled.
Who is eligible?
To be eligible for the savings, you must trade in a car that is at least ten years old, that has a valid ITV, and is registered in your name.
Despite the new scheme only starting yesterday, people who purchased a new car after June 15, 2020, can also apply.
The scheme is scheduled to run until the end of the year or until the money runs out, whichever comes first.