A Device That Disables Car Upon Missed Payment
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The subprime losses have taken a toll on the banks and other finance houses in the US with billions of dollars in losses being reported. This is an interesting story from the US to counter the problems caused as a result of people defaulting on payments on their cars. The unusual step taken by car dealerships that offer financing to customers on used cars is to install a device on the car to ensure payments are made on time.
The device will remind the owner when payment cycle nears and will keep beeping incessantly when the actual payment day arrives. The system links to a database of the company providing the financing so they too are aware when payment is due. Of course they will also know that from their customer database too. If the owner tries to reset the box, it will disable the car altogether.
I wonder how long before this device or a similar one is employed in the UK. The UK has not been immune to the problems faced in the US with rising defaults of our own. You can read more on the story on USA Today.
