Some aspiring Grab drivers abuse car loans: IACT

Louise Penera

Posted at Jul 02 2018 05:13 PM | Updated as of Apr 01 2019 12:21 PM

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MANILA - Aspiring Grab drivers acquired car loans intended for private vehicles for the lesser interest rates and a longer paying period, which is a complete violation, an official of the InterAgency Council for Traffic said Monday.

Despite the "misdeclarations," 4 banks--namely Bank of the Philippine Islands, Rizal Commercial Banking Corporation, BDO Unibank, and PSBank--issued transport network vehicle service (TNVS) drivers with certificate of conformity, IACT Spokesperson Aileen Lizada told radio DZMM.

“Out of 9 banks na ka-meeting namin, apat ho ang bumalik at sinabi na…we will allow the issuance of certificate of conformity,” Lizada said. “We will not object to them being TNVS.” 

(Out of 9 banks that we had a meeting with, 4 replied and said they will allow the issuance of certificate of conformity. We will not object to them being TNVS.)

After the feud between ride-hailing apps Grab and Uber, the Land Transportation Franchising and Regulatory Board (LTFRB) implemented strict regulation for TNVS and required them to submit their vehicle’s official receipts and certificate of registration as proof of bank acknowledgment.

But bank-encumbered drivers have difficulty procuring this because of their misdeclared loans, Lizada said.

“Ito ho yung concern na they did not disclose before kase walang strict regulation. There is no enforcement and ngayon ho, with the system, they are mandated to pay taxes,” she added.

(This was the concern that they did not disclose before because there was no strict regulation. There is no enforcement and now, with the system, they are mandated to pay taxes.)

TVNS also began to observe strict compliance with taxes after the LTFRB required them to submit their certificate of registration from the Bureau of Internal Revenue.

‘INCENTIVES’

Some Grab drivers began to "choose" their passengers after the P2 subsidy was discontinued, a public service violation according to Lizada.

“Huwag kayong umasa sa mga incentives kase dapat ‘pag pumasok kayo sa TNVS, yes, meron kayong income pero, ‘wag po [magdepend] sa incentives para magbigay [ng] serbisyo,” Lizada said.

(Don’t rely on incentives because when you enter the TNVS, yes, you have income but, do not depend on the incentives.)

Refusal to ride passengers would be tantamount to refusal to convey and would fine first time violators with P5,000, while violators on second offense will be fined P10,000 plus, on top of a 30-day suspension of franchise. Third-time violators will receive a cancellation of franchise.