The House passed a bill Friday to allocate another $2 billion to the Cash for Clunkers program.
The move came after the fate of the $1 billion trade-in program was thrown into question Thursday over concerns that it may have already reached its funding limit.
It was uncertain how much longer car buyers would be able to trade in clunkers after reports merged on Thursday that the program would be suspended.
The bill which redirects $2 billion from a U.S. Department of Energy program loan guarantee program, passed 316 to109.
The bill is not expected to be voted on before Monday.
"I'm pleased about the progress made in the House today about the cash for clunkers program," said President Obama, in a speech immediately following the vote.