Incentive spending soars among automakers

2010 Malibu has 0% financing available

Spending on customer incentives like low-interest financing and rebates soared in October among auto manufacturers, according to the auto research Web site Edmunds.com, as carmakers seek to clear out old inventory that piled up after the Cash for Clunkers program ended, The Associated Press reports. Automakers ramped up their production in recent months in response to the wildly successful clunkers program. Now that sales have leveled off, inventories have piled up again and automakers are eager to clear dealer lots, Edmunds said. Luxury models and trucks are being discounted “particularly heavily,” Edmunds Senior Analyst Jessica Caldwell said. General Motors Co. has been particularly aggressive in its incentive spending, offering zero-percent financing on several models.