Federal Cash For Clunkers Program May Run Out Of Funding By Labor Day

Dealers have started dipping into the second half of the $3 billion cash-for-clunker fund as they continue to apply for federal money at a pace likely to deplete the program around Labor Day weekend.

As of this morning, dealers had filed 411,624 claims for $1.72 billion, the U.S. Department of Transportation said. That's a $217 million increase from Friday.

The figures include only government rebates sought by dealers for credits of $3,500 or $4,500 provided to consumers.

The numbers don't indicate how many of these applications have been rejected by the government, nor do they pinpoint how much has been paid out to dealers. The government hasn't released those figures.