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GM Offers Cash to Recalled Vehicle Owners

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Tina Robinson4 years ago

As part of damage control over the recent recall, General Motors is offering affected owners free loaner cars and a special cash allowance toward the purchase of a new GM vehicle.

About the General Motors Recall Incentives

Fox News reports that owners of the recalled vehicles are eligible to receive a loaner car, free of charge, until repairs have been made. Repairs are expected to begin around April 7. Even after being fixed, GM advises that nothing extra be put on the key ring.

Owners are also eligible to receive a $500 credit to be used toward the purchase of a new GM vehicle. The offer runs through April 30. Dealerships have been advised not to use the credit as a sales tool but as a special allowance to assist those unhappy with their recalled vehicle.

GM has also advised dealerships that they will not be offering a buy back option for the recalled vehicles. Owners will have to request the loaner or cash allowance benefits in order to receive them.

More Information About the GM Recall

  • 1.6 million cars have been recalled due to faulty ignition switches. This includes model years 2005-2007 Chevrolet Cobalt and Pontiac G5, 2003-2007 Saturn Ion, and 2006-2007 Chevrolet HHR, Pontiac Solstice and Saturn Sky.
  • Faulty ignition switches can cause vehicle engines to be moved out of the “on” position if bumped or heavy weight is put on the key ring.
  • GM has linked 13 deaths and 32 frontal collisions to the defective switch.
  • GM is under investigation by the U.S. Department of Justice, two congressional committees and federal safety regulators.
  • An internal review is underway at GM to prevent similar issues in the future.
  • Reports have indicated that GM was aware of the issue more than a decade ago, after receiving a report linked to a Saturn Ion in 2001.


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