From Gas Guzzler to Plug-In Hybrid: My Experience with Vehicle Exchange Colorado (VXC)

by AJ Samora | Feb 16, 2026 | Blog, Cars, Funding & Incentives, Our Take

By Ryan Banbury, Drive Clean Colorado | Ryan shares his personal experience applying for Colorado’s Vehicle Exchange Colorado (VXC) program.

When I joined Drive Clean Colorado toward the end of 2024, I was genuinely excited to start a new chapter in my career. I’ve always gravitated toward work—professionally and personally—that’s about leaving places better than we found them. So joining an organization advancing alternative fuels and electric vehicle (EV) adoption across Colorado felt like a natural fit.

There was just one problem: I was driving a 2001 SUV that maybe got 15 miles per gallon on a good day.

Cue the impostor syndrome.

I’ve wanted a more fuel-efficient vehicle for years, but with market uncertainty following COVID, it never felt financially responsible to make the leap. Still, pulling up to clean transportation events in an aging gas guzzler wasn’t exactly ideal. The SUV was dependable and owed me nothing—but it was clearly time to start thinking about retirement.

Discovering Vehicle Exchange Colorado

As I moved through onboarding and learned more about my role, I was introduced to the many grants and funding programs available across the state. Most of my work focused on public charging, fleet infrastructure, and multifamily housing—but at a community event last spring, I found myself wanting to better understand consumer incentives.

That’s when I learned about Vehicle Exchange Colorado (VXC).

VXC helps income-qualified Colorado residents recycle and replace older, high-emitting vehicles with electric vehicles (EVs) or plug-in hybrid electric vehicles (PHEVs). For me, that meant turning in my 2001 Explorer and receiving significant financial support toward a cleaner vehicle. At the time, incentives were up to $6,000 for a new vehicle or $4,000 for a used one. Since then, incentives have increased to up to $9,000 for new vehicles and $6,000 for used vehicles.

With federal EV tax incentives set to sunset at the end of 2025—and realizing I met the VXC eligibility requirements—I knew it was time to move forward.

The Application Process (and What I Learned)

I spent time researching the program, gathering documents, and submitting my application. I was approved and used VXC funding to purchase a plug-in hybrid—and I couldn’t be happier with the outcome.

What surprised me most was how underutilized this program is. Many Coloradans simply aren’t aware it exists or don’t know where to start. Based on my experience, here are a few tips and lessons learned that can help make the process smoother.

Tips & Tricks for Applying to VXC

Review eligibility requirements first Start by visiting the Vehicle Exchange Colorado website and carefully reviewing the eligibility criteria. One key requirement is that your household income must be below 80% of the Area Median Income (AMI) for your county. An AMI chart is available on the site to help you confirm eligibility.

Gather and save documents ahead of time

Download required forms early and take clear photos of your ID and other documents. Save everything in one folder so files are easy to upload to the VXC dashboard.

Use your Tax Form 1040 for income verification

Pay stubs can be confusing, especially if they include stipends or reimbursements. Using your most recent 1040 tax form is often clearer and easier for reviewers to interpret.

Apply before seriously shopping for a vehicle

Approval can take up to 30 days. Once approved, you’ll receive a rebate code and expiration date that the dealership applies directly to your down payment at the point of sale.

Confirm dealership participation early

Not all dealerships participate in VXC. While waiting for approval, review the list of participating dealerships and confirm directly with the location you plan to use. You may need to speak with a sales manager if staff are unfamiliar with the program.

Watch for emails—and don’t panic if rejected

If you’re initially rejected, it doesn’t always mean you’re ineligible. In my case, a name mismatch between my vehicle title and driver’s license required a simple clarification form.

Be prepared to resubmit documents

If additional information is requested, you may need to resubmit documents. Keeping everything saved and staying in touch with your assigned agent helps avoid delays.

Confirm your redemption timeline

When I was approved, I had 90 days to use my rebate. Confirm this window with your approval agent, as program timelines can change.

Bring all documents to the dealership

Bring the same documents you submitted to VXC, along with your vehicle title, to streamline the vehicle exchange process.

Final Thoughts

I truly believe the Vehicle Exchange Colorado (VXC) program is one of the most impactful tools available to help residents offset the cost of an EV or PHEV—while also removing older, high-emitting vehicles from Colorado roads. The process does require preparation and patience, but the payoff is absolutely worth it.

If you’re interested in applying or have questions about the program, visit the VXC Website and contact the Colorado Energy Office VXC team directly.

View the original article here: https://drivecleancolorado.org/my-experience-with-vxc/