General Motors Offers Dealer Incentive Plan for Pontiacs, Saturns

The post-Christmas season is typically a time for retailers to clear out their old items to make room in their stores for new product. For General Motors at the end of 2009, this is especially true as its dealerships are looking to clear out the remaining inventory of the discontinued Pontiac and Saturn models as quickly as possible. To facilitate this, the New York Times reports that G.M. is giving its dealers incentives to sell as many cars as possible within the next week.

G.M. is offering dealers $7,000 for every Pontiac and Saturn vehicle they move into their rental or service fleets, allowing them to be sold to customers. However, the incentive might not trickle back to customers in terms of discounts on the cars. In addition, any vehicle bought through this program is considered to be a “used” vehicle, meaning that buyers will not be eligible for incentives of up to $6,500 that G.M. is offering for buyers of new cars. People who are financing their purchase will also have to pay the higher interest rates typically placed on used car loans.