United Arab Emirates. (SANEPR.com) August 26, 2007 -- Jeddah: It is early in the morning. You climb into your car, turn the key and ... nothing happens. What's the problem? Bad ignition? Dead battery? No, you haven't paid your monthly car loan instalment on time, and it won't start until you do.

Sounds ridiculous? But it's happening already internationally, and it will happen soon in Saudi Arabia.
Financial institutions, banks, and insurance companies are considering setting up the new payment protection system for their auto loans.

Dubai-based Sekurus International LLC plans to provide the system called SekurPay™-ONTIME, SekurPay™-FLEX and SekurPay™-GPS devices to banks and insurance companies in KSA and aims to extend its presence throughout the Middle East.

"The SekurPay™ solution is fitted inside the vehicle and features a combination of GPS and microprocessor enabled technology that tracks payments, so if you're late with the money, you're not going anywhere," said Basel Al Salah, the CEO of Sekurus International LLC

"With the use of SekurPay™, we have been able to bring our delinquency to under 2 per cent from a high of 40 per cent. The dealers and banks associated with our programme and our product would not do a single deal without the device," he added.

Sekurus International is currently engaged in negotiations with a number of established finance institutes for the securitization of automotive loan contracts worth $800 million.

Additionally, Sekurus International has concluded a Master Distributor Agreement in Saudi Arabia with Sequr ME. Sekurus International's CEO Basel Al Salah said”
“We are happy to be working with Sequr ME to bring these values to corporate customers in Saudi Arabia."

"The growth opportunities for Sekurus International are significant,” said Basel Al Salah, CEO of Sekurus International. “Whilst we will execute the most feasible plans to launch our Products and Services on a global level, appointing a well financed and established Master Distributor (Sequr ME) in Saudi Arabia will certainly consolidate our strategy in the Global market and help us further our current growth".

"Together with our partner Sekurus International, we are providing a market-leading Payment Protection solution with or without telematics (GPS) technology that is supported by a team of professionals dedicated to ensuring our solutions meet the exacting needs of our customer base" commented Sequr ME Director Sinan Al Saady The SekurPay™ solution devices being used by clients internationally, assure payments on more than $2.6 billion of auto loans.

"Car buyers can now be given the opportunity to re-establish credit history and qualify for lower interest loans," said a representative of a UAE bank which is planning to use the technology.

"Our customers will pay because they need their vehicle and they are willing to accept direction and help with payment behaviour to get back on track," said the banker.

"We understand there are times when there has been no established credit and you had no opportunity to obtain credit. We also understand sometimes bad things happen to good people, and reasons such as these can cause credit problems," he added.

Most people who finance their cars through a bank and pay their instalments on time ask about how this system will affect their vehicle's performance, and how they can remove it after paying all the instalments.

"It is important before we accept this system to know if it will effect the performance and what will happen if the car has an accident," said Mohammad Al Baali, Managing Editor of Dubai-based Insurance magazine.

He added that insurance companies and banks would benefit a lot from systems like this.

"Financial institutions and car dealers should explain to people that the system will not affect their cars, or they will not buy cars with these systems," he added.

On the other hand, some car buyers did not welcome the system, saying it may not be legal and would intrude on their privacy.

"Our own market studies show that 80 per cent to 90 per cent of the cars sold in the KSA market have been financed by banks," said Sinan E Al Saady of Sequr ME.
Al Saady said “SekurPay™is manufactured under international quality standards and does not affect the cars' factory warranty. "Consumers are safe with the SekurPay™ device. Emergency codes ensure the customer will not be stranded."

He added that SekurPay™ will cost nothing.
"The solution is owned and maintained by the lien holder or car dealer," he said. Listing the benefits from using it, he said: "More customers can qualify for purchases and finance programmes because the dealer or finance company now has payment protection."

"So the next time your car won't start, they say don't bother calling the manufacturer breakdown scheme, try your bank first," he added.

"The SekurPay™ solution has helped thousands of people with the opportunity to rebuild their credit," said Al Saady.
"In this fast-paced environment we often need a reminder to help us prioritise and pay our bills. The SekurPay™ solution will assist in developing good credit behaviour."

For more information please visit: www.sekurusinternational.com