LTO says digital transactions rose to 20% in 2024

MANILA, Philippines — The Land Transportation Office (LTO) announced on Wednesday that it is making significant progress in its digitalization efforts, with the share of digital transactions rising from three percent in 2023 to 20 percent this year.

LTO Chief Assistant Secretary Vigor Mendoza II emphasized that the agency’s push for digitalization serves as a stepping stone toward making transactions more accessible and convenient for the public.

“When I entered the LTO last year, the online transactions of the LTO were only at three percent. Now, it has jumped to 20 percent. Our online transactions not only make it more convenient for motorists and license holders,” Mendoza stated in a Kapihan sa Manila Bay forum on Wednesday.

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According to him, the shift to digitalization aims to eliminate corruption within the agency, especially the prevalence of fixers.

“It also removes the face-to-face interaction, which is a systemic change aimed at addressing the issue of corruption and fixers at the LTO. It also reduces the chances of ‘lagay-lagay’—you know, those envelopes that people refer to. This will really minimize the perception that the LTO is a corrupt agency,” Mendoza underscored.

The agency will release an instructional video to assist motorists in navigating and completing online transactions themselves, according to the LTO Chief Assistant Secretary.

Mendoza highlighted that the LTO now offers online services for both new motor vehicle registrations and renewals, reflecting the agency’s efforts to enhance accessibility and streamline processes.

He explained that for motor vehicle renewals, the only required face-to-face step is visiting a private motor vehicle inspection center to undergo the necessary tests.

After completing this process, vehicle owners can finalize their transactions entirely online sans the need to visit an LTO office.

“All of those clearances, including the clearances for emission, inspection, and all others, will be uploaded online by the providers so that the LTO can view them and proceed with processing the motor vehicle registration,” the LTO Chief Assistant Secretary stated.

Meanwhile, Mendoza noted that new motor vehicle registrations are processed through dealers, who already use the LTO’s online filing system for a more efficient transaction.

“In fact, I spoke to a group of dealers yesterday, and we’re really pushing for them not to go to the LTO if possible. We encourage them to do online filing instead. That way, we can also monitor the files electronically,” he added.

Mendoza stated that the LTO is in the process of streamlining the documentary requirements for online transactions to make it easier for motorists to submit their documents.

He acknowledged that the agency still needs to improve its online instructions, especially regarding the online payment process.

“Transportation Secretary Jaime Bautista’s directive is to open up to all payment gateways so that motorists can choose the best and most affordable service for them,” he added.