PHILADELPHIA — After seven years of providing electronic lien and titling in that state, VINtek said it has assisted California lawmakers with the drafting of the state’s ELT legislation, which was signed into law by Gov. Arnold Schwarzenegger on Oct. 11. ,
The California Assembly Bill 1515 “Vehicles: Electronic Lien and Title Program” requires that the director of the California Department of Motor Vehicles (DMV) develop a mandatory ELT program by Jan. 1, 2012, if the director finds that ELT is more cost-effective than the current paper-based process. California currently offers a voluntary ELT program, which according to the DMV, is used for approximately 10 percent of titles issued with liens in California.
“VINtek commends the California government for advancing ELT in the state to become more environmentally friendly, as well as cost-effective,” said Larry Highbloom, president of VINtek. “As states wrestle with budget gaps some, such as California, have resorted to furloughs in the DMV division which impacts customer service.”
“ELT will enable DMV’s to reduce costs in a less disruptive and more sustainable way. Efficiency is increased throughout the DMV by moving from a paper-based process to a completely paperless system. The DMV not only saves trees but also eliminates unnecessary costs associated with handling paper documents such as postage, supplies and handling expenses,” he added.
VINtek provides automotive lenders with collateral management services including ELT technology, a “green” initiative that replaces paper titles with digital data for lienholders and business process outsource administration of automotive collateral.