A new online payment system will be launched by the Department of Transporation (DOTr) and Land Transporation Office (LTO) that will make registering cars and motorcycles easier and hassle-free. Come November 2018, the DOTr and LTO are set to implement a Luzon-wide online payment system for the initial registration fees for 3 years for new motor vehicles and motorcycles (MV/MC).

This was made possible after a court decision junked the temporary restraining order (TRO) vs the Road Transporation IT Infrastructure Project. With it, the online system for new LTO registration transactions (currently available for Metro Manila only since June), will soon expand to the rest of Luzon next month. Meanwile, the system will be implemented in Visayas and Mindanao regional offices before the year ends.

According to Clarence V. Guinto, Regional Director of LTO-NCR, the implementation of such a system will make for faster transactions and reduced heavy queing for new registrants of both motor vehicles and motorcycles.

“People are not only expecting, but are demanding the availability of our services online. In the few months that we have been implementing this in Metro Manila, we reduced processing time and avoided heavy queuing for new registration transactions. In NCR, with the implementation of ‘Moving Forward’ and online payment project, OR/CR and motor vehicle plates are made available within 3 days after MV/MC dealers submit the documents,” said Guinto.

The agency is currently using the Electronic Payment Assessment Tool (e-PAT) which is a web-based program that automatically computes the amount to be paid. Without human intervention in play, it eliminates the opportunity to bribe or extort individuals. In partnership with the Land Bank of the Philippines (LBP), the computed amount from the e-PAT system will be sent to LBP's electronic paymeent portal.

There, MV/MC dealers can then use their LBP account to pay for the transaction online. After the payment has been made, it will be reflected at the LTO's online system which enables faster issuance of the MV or MC's official receipt (OR) and certificate of registration (CR).

“The LTO is doing this because we want to remove the impression of 'when there's a line, there's a fixer, when transactions are difficult, there's corruption'. The fixing of the system is just one of the steps in order to make the agency's service better,” said DOTr Secretary Arthur Tugade.

Come next year, the LTO also plans on rolling out other forms of online payment. This includes licnese application and renewal, as well as MV/MC renewal.