Storage of motor vehicles is a service offered by the Land Transportation Office (LTO) to those who wish to avoid having to pay for motor vehicle registration and other LTO fees for scrapped vehicles. It is particularly useful if you wish to be a law-abiding citizen but you have a car you can’t or don’t want to use anymore. It helps save money on motor vehicles you won’t be using but needs to register simply because the law says that “All motor vehicles and other vehicles must be registered.”
Because of the LTO storage service, it is possible to avoid being liable for the LTO fees once you have determined that you do not want to keep your vehicle as a running vehicle on public roads. This applies regardless if you want to totally scrap your car or you simply do not wish to keep a dilapidated or accident-damaged vehicle running on public roads. In such a case, it would be wise to avail of the LTO’s storage service.
What does LTO Storage of Motor Vehicle Mean?
The LTO storage service refers to the transaction where the Motor Vehicle (MV) or Motorcycle (MC) plates, Certificate of Registration (CR), and Official Receipt (OR) are all surrendered to the LTO and the vehicle shall not be used or operated for a period of time until reactivated. Once stored, such a vehicle cannot then be used on public roads, but at the very least, it means that the vehicle will not accrue any fees for the time it is in storage (or the time it has been scrapped).
Though it is uncommon for Filipinos to scrap a car as they usually simply sell it off, there does exist another option. This option to store vehicles allows you to keep a car and surrender the license plates to avoid any delinquency in payments of registration fees. It is a particularly useful service in cases when one gets into an accident that wrecks his vehicle or wishes to scrap his dilapidated or accident-damaged vehicle so it doesn’t run on public roads ever again.
Some of the benefits associated with the LTO storage of motor vehicle service includes:
- Allowing you to free up the space occupied by the car when you decide to scrap it.
- Helps keep your LTO records clean and free from violations.
- In case you can’t decide whether to keep or scrap it just yet, you still do not have to worry about paying for LTO registration fees and other related fees while the car is in storage.
- There is an option for reactivation from storage, in the event you wish to use the car again.
- You may still be able to drive the car, if only around the village or as a practice vehicle.
Who May Avail
The LTO storage of motor vehicles is available to all motor vehicle owners. It is a particularly useful service for those with old vehicles which they can’t let go either for practical or sentimental reasons.
If you decide that you do not wish to be held liable for not paying LTO registration and other fees for a vehicle you no longer use, then you’d want to surrender it to LTO for storage. Before you can do so, however, you will need the following documents:
- Original Certificate of Registration (CR)
- In the absence of CR: Submit affidavit of loss
- Motor Vehicle / Motorcycle plates
- In case of a lost plate: Submit an affidavit of loss
- For non-availability of plate: Submit Certification
The actual process to store a car and surrender the license plates to avoid any delinquency in payments of registration fees is simple.
Here are the steps you will need to follow:
Step 1: Visit your preferred LTO Office, whether an LTO District / Extension Offices that processed the storage transaction.
Step 2: Proceed to the Customer Service Counter and have your requirements checked for completeness.
Step 3: Secure an Application Form for storage of motor vehicles.
Step 4: Secure a queue number and wait for your turn.
Step 5: When your number is called, proceed to the transaction counters.
Step 6: Submit the application form along with all your documentary requirements to the Evaluator.
Step 7: Once the requirements are retrieved and verified, you will be issued a billing form.
Step 8: Proceed to the cashier for payment of fees.
Step 9: Wait for the official receipt (OR) to be released.
Step 10: Once paid, present your OR and surrender your number plates, Certificate of Registration (CR), and Official Receipt (OR) of Return Plate and Licenses for storage.
Once stored, the vehicle associated with the plates and OR/CR can no longer be used on public roads again, but at the very least, it means that the vehicle will not accrue any fees for the time it is in storage (or the time it has been scrapped).
Some of the fees associated with LTO Storage of Motor Vehicle service includes the following:
Storage Fee – P45.00
Legal Research Fee – 10.00
Total: P55.00 + surcharge (if applicable)
Where to Avail
If you are interested in availing of the LTO storage service, then you may visit any LTO District or Extension Offices that process storage transactions.
Reactivation from Storage
If by chance the car needs to be used on public roads once again, the LTO does allow for reactivation from storage. Just make sure to prepare to submit the following requirements:
- LTO Copy and electronically transmitted insurance Certificate of Cover (COC)
- Original Certificate of Emission Compliance (CEC)
- Original Receipt (OR) of Return Plate and Licenses
- Actual Motor Vehicle Inspection
- Valid Motor Vehicle Inspection Report (MVIR)
With these documents, you may reactivate your motor vehicle from storage and renew its registration. It means that the vehicle has been restored to road-worthy condition and should be allowed for the retrieval of the plates that you have had stored.
If you are processing a request to store your motor vehicles’ number plate and OR/CR, you need to keep the following tips in mind:
- It is mandated by law to pay for registration fees and other LTO fees of all cars, regardless if it’s in good running condition or scrapped.
- It ensures that the owner of a vehicle is always identifiable in case of any accidents or untoward incidents that require such to be found out.
- The LTO storage of motor vehicles allows you to avoid liability from fees, penalties, and delinquencies in case you decide to scrap your motor vehicle.
- Though scrapping is rare in the Philippines, it still pays to know that there is an option other than reselling for parts or as a second-hand vehicle.
- It is also possible to reactivate motor vehicles from storage.
Frequently Asked Questions
For your reference, here are some common questions and answers regarding motor vehicle storage:
1. What happens if I decide to keep my car and not have it stored?
By law, you will need to keep renewing the vehicle registration by going through the renewal procedures and paying for the associated fees.
2. Will I need to have my plates and OR/CR stored if I decide to scrap my car?
Yes, unless you prefer to have it transferred to another vehicle (usually in case of vanity plates) or keep paying for the renewal of your vehicle registration faithfully even when the car is no longer being used.
3. What if I want to use the car on public roads again?
If by chance the car is needed to be used once again on public roads, the LTO does allow for reactivation from storage. It requires the vehicle to be restored to road-worthy condition and have its registration renewed before the retrieval of the plates that you have had stored is allowed.
4. How much do I need to pay to avail of the LTO storage service?
To avail of the LTO storage service, you will only need to pay a total of P55.00 along with the applicable surcharge.
5. Can I still drive my car around after surrendering the number plates for storage?
By law, publicly driving a car without plates and OR/CR is not allowed. You may, however, drive it within your private property and nobody will complain.
Say you got into an accident and ended up with your vehicle at a total loss, then you’ll either hope for insurance to kick in or end up with a scrap of unusable metal. Once you have determined that you do not want or you are unable to keep your vehicle as a running vehicle on public roads, it would be wise to avail of the LTO’s storage service.
The LTO storage service allows you to store a car and surrender the license plates, avoid delinquency, and avoid paying for the hefty LTO fees associated with owning a vehicle. It’s a simple process and it saves you from burning your money unnecessarily too while you decide what to do with your crappy or old vehicle.
The important lesson here is to know exactly what you will do with a dilapidated or accident-damaged vehicle. When you do, getting on with the actual procedures isn’t always as hard as it seems.