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SPURRING AUTO SALES
Billions Freed Up For Auto Loans

Reported by: Send eMail Kennie Bass
Videographer: Larry Clark
Web Producer: Kennie Bass
Updated: December 1, 2008 11:38pm


Eyewitness News
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Trying to make it as easy as possible for customers to pick up a new vehicle, the Federal Reserve is establishing a 200 billion dollar program to facilitate new car loans.

Dealers like Joe Holland Chevrolet in South Charleston say its a great step toward restoring consumer confidence and stabilizing the economy.

"In West Virginia we've already been able to make these loans," said John Knight, Joe Holland's Chevrolet Manager. "Our auto loans have been out there. We have over 20 banks right here ready. GM is pushing that they have over a hundred banks ready to make loans. So we just need to make sure that message is out there that car loans are available for the domestic market."

A Colorado congressman is also looking for ways to move these cars and trucks off of the lot. Rep. Doug Lamborn wants to give consumers tax breaks to buy American. His plan would give buyers of U-S built vehicles a 10-thousand dollar deduction.

"If it's tax incentives or a tax holiday, these are things I think we could look at," said West Virginia Congresswoman Shelley Moore Capito. "I had a meeting last week with a bunch of car dealers here in West Virginia and they're really hurting and I think it is a confidence issue."

While West Virginia hasn't been hit as hard as the rest of the country, dealers say their customers can use all of the help they can get when deciding to buy a new car or truck.

"It's a great time in West Virginia to get a car," Knight said. "The deals from the manufacturers are the strongest I've ever seen and I've been in the car business for over 20 years."

In another effort to boost business, the National Automobile Dealers Association has launched a "Buy Now" campaign. It's designed to reinforce the message that despite a gloomy economic outlook, this is actually the best time to purchase a new car or truck.

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