PHILADELPHIA — VINtek is assisting automotive lenders in Florida and Georgia prepare for the implementation of expanded electronic lien and title (ELT) programs in both states as part of recently passed laws. VINtek provides auto collateral management, ELT services and direct finance processing.
The legislative expansion of an ELT program reduces the cost and exposure to fraud associated with paper vehicle titles with liens for automotive financiers, consumers, automotive dealers and the state motor vehicle department. Florida’s HB 1223 requires most, if not all, lien holders to participate in the ELT program by Jan. 1, 2013. Georgia HB 865 authorizes the Georgia Department of Revenue to phase in a mandatory ELT program. Final rules outlining participation in that program will be published before Jan. 1, 2013.
ELT replaces paper titles with an electronic exchange of data between the states' DMVs and VINtek, which acts as an intermediary on behalf of a lien holder. Between the two states, more than 800 lienholders have implemented ELT programs.
"Georgia and Florida have joined a growing list of states that recognize the benefits of ELT to government budgets and automotive financiers," said Larry Highbloom, president of VINtek. "By legislating an expanded population of paperless titles, both of these states have ushered in a more cost-effective, efficient and secure era in auto financing."