Loan repay enforcement system

Abstract

A system to encourage on time repayment of loans includes electronic apparatus coupled to a critical system of certain equipment; for example, the ignition system of an automobile. Apparatus includes mechanism whereby a user-operator is able to enter a code. Entry of a correct code serves as indication that a payment has been made and enables further use of the equipment. On failure to timely make payments, a user is prevented from using the equipment as the apparatus is arranged to disable the equipment by way of the critical system to which it is coupled. Both a user-operator interface and critical system interruption circuit are coupled to a logic processor which is easily mounted onto equipment subject to the program.

Description

[0001] This application is a Continuation of U.S. application Ser. No. 09 / 634,916, entitled "Loan Repay Enforcement System", filed Aug. 9, 2000, which is a Continuation of U.S. application Ser. No. 09 / 371,697, filed Aug. 10, 1999 entitled "Loan Repay Enforcement System", each of which are incorporated by reference here in their entirety.[0002] 1. Field[0003] The following invention disclosure is generally concerned with electronic systems for disabling equipment in response to failure to make timely payments on a corresponding loan.[0004] 2. Prior Art[0005] Systems have been introduced to interrupt the ignition system of an automobile on a regular, timed interval. To re-enable the car, a user is required return to a payment center, make a payment, and have an agent reset the interrupt mechanism for a renewed timed interval. The system can only be reset by an authorized agent as it requires a key held in escrow at the payment center. While the system is effective in encouraging custo...

AI Technical Summary

Benefits of technology

"The invention provides systems to improve the timely repayment of loans, operate without the need for equipment at a specific location, enable and disable equipment based on loan payments, and interrupt critical systems in response to failure to receive a code in a timely manner. These systems can be adapted to different needs and can be used in various ways to improve the lending process."

Problems solved by technology

While the system is effective in encouraging customers to repay their auto loans in timely fashion, it has extreme overhead considerations.

As these problems pose considerable inconvenience, these systems suffer from limited utility.

This is partly due to the threat of service cut-off.

Failure to pay a phone bill, will result in loss of telephone services.

Thus, phone bills are paid regularly because failure to do so has immediate and tangible results.

Monthly payments on an automobile loan are not likely to be as regular.

Although a car may be repossessed, the process is expensive and complex and thus the threat of doing so is less immediate than telephone service cut-off.

While systems and inventions of the art are designed to achieve particular goals and objectives, some of those being no less than remarkable, these inventions have limitations which prevent their use in new ways now possible.

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