The system uses microprocessor- based technology to turn credit challenged prospects into paying customers.  The device comes equipped with a key pad system which gives a visible reminder to the user that a payment is due on the vehicle.  Once a payment is due an LED light will flash red to make the customer aware that a payment must be made.

SIX DIGIT CODE

If these payments are not made, the vehicle will be disabled until payment has been received.  After the payment is made, the driver will get a six digit code from the finance company and will be able to reset the system.  The driver will also get an emergency code that can be used three times to delay the cut-off for 24hrs.  The light will turn to green when the six digit code has been entered, indicating that the payment has been made.

Since being introduced in 1999 by a California company, Payment Protection Services (PPS), it has grown in popularity and is expanding in both the North American and international markets.  Today there are 89,000 On Time devices in use.  The devices cost approximately US$250 each and are purchased by the finance company, their cost is however not passed on to the consumer.

The local Kia dealer introduced the product at the official opening of its showroom on Chelsea Avenue in St. Andrew recently.  The customers who will take advantage of the Kia credit facilities will be, once qualified, given a Kia vehicle outfitted with the On-Time system.

PROTECTION FACTOR

Mike Simon, president of PPS, was at the launch of Kia Jamaica and said that the system did more than change consumer behaviour and foster good credit, he said that it would increase sales by allowing more qualifications for purchases because of the payment protection factor.  In addition, he said that car buyers would be given an opportunity to re-establish their credit history and qualify for lower interest rates.  He boasts that the system is safe and does not pose any safety hazards to the vehicle or its passengers.

"Without the device there was a 70 per cent on time pay rate," Simon said, " Now there is a 97 per cent pay rate."  He also claimed that repossessions had dropped from 10 to five per cent when On Time was used.  Simon was happy to admit that the product was virtually tamper proof and could be customised to the dealer or finance company.

Ray Lewis, cheif operating officer of Kia Motors Jamaica, was quite upbeat about having On Time on-board and said that this would revolutionise the local motor vehicle industry.

"Through On Time we will be able to extend credit to more customers and this will help us to be one of Jamaica's top car dealers," Mr. Lewis said.

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