What is LTO Certificate of Registration Encumbered (CRE)

Buying cars or other types of motor vehicles through a bank loan or secured loan makes the motor vehicle encumbered. Being labeled as such means it is being used as a collateral for the loan used to pay for things with a hefty acquisition price, like a motor vehicle. In the Land Transportation Office (LTO), it is also known as Chattel Mortgage.

Encumbered motor vehicles or those vehicles under Chattel Mortgage are not “owned” by the buyer. It stay under the ownership of the lender until such time that the loan amount has been paid for in full. Such a condition is signified by the annotation “encumbered” on the LTO Certificate of Registration (CR), creating the Certificate of Registration Encumbered (CRE).

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lto certificate of registration encumbered

What is Certificate of Registration Encumbered (CRE)?

The hefty acquisition costs associated with purchasing a motor vehicle usually calls for a loan through a bank or a lending company. When a car is purchased this way, it becomes a collateral and is technically registered as the property of the bank or the lending company that provided the loan until such time that the loan is repaid, instead of the buyer who took out the loan. Upon registration at the LTO, it is issued a Certificate of Registration Encumbered (CRE) instead of the normal Certificate of Registration (CR).

The Certificate of Registration Encumbered (CRE) is a counterpart of the regular Certificate of Registration (CR) issued upon registration of motor vehicles at the LTO. It is given to car owners whose motor vehicle was purchased by taking out loans. These motor vehicles then serve as the loan collateral, and are technically owned by the lender instead of the buyer, hence the encumbered annotation on the car registration documents. For encumbered motor vehicles, the transfer of ownership will need to be processed once the car loan is paid in full.

Encumbered Car Check: How to Know if a Car is Encumbered?

To check if a car is encumbered, one simply needs to look at the LTO Certificate of Registration (CR). If the portion on the upper left part says “encumbered to” and is filled up with the name of a financial institution, then it means that this particular vehicle is subject to a Chattel Mortgage and was bought using a loan taken out from either a bank or a lending institution.

The encumbered annotation signifies that the lender of the funds used to acquire the vehicle remain as the legal owner of the purchased vehicle until such time that the buyer pays off the loan in full. Once the loan is paid in full, it is the buyer’s responsibility to process the LTO transfer of ownership in order to officially remove the encumbered status of the car and fully transfer its ownership.

What are the Risks of Buying an Encumbered Car?

Buying an encumbered car, otherwise known as the assumption of balance (pasalo) in the Philippines, is quite a common practice. It happens when a buyer of a motor vehicle paid for with a loan from either a bank or a lending company decides to let go and sell the encumbered vehicle before paying it back in full to the lender.

While buying an encumbered car may be more practical budget-wise, it comes with some risks and drawbacks, which includes the following:

When sold, the new buyer will assume the balance on the loan after paying the previous buyer a hefty amount (cash-out) to compensate for the equity or the previous payments made to the loan.
The seller can’t easily put his/her encumbered car up for sale as it requires a written statement from the bank or the lending company (who owns the car) that gave the loan to avoid breaching the loan contract you have signed with the lender.
It is a little risky as the buyer can’t know for sure whether the seller is honest and transparent in regards to the actual state of the car, unless they check it personally.
The buyer will need to confirm with the seller if the car is still subject to financing, and the loan has yet to be paid in full.
There may be legal repercussions as selling a mortgaged property, regardless of whether it’s a house or car, without written consent is punishable by law.
If the new owner fails to make the payments for the loan, the lender may legally repossess the encumbered car even after it was bought by a new owner.

How to Remove the Encumbered Status on Your Car’s Certificate of Registration (CR)?

Removing the encumbered status of the car on the LTO Certificate of Registration (CR) is done at the LTO. It can’t just be any LTO office. It has to be done at the originating LTO branch office (the office where it was originally registered), or the LTO office stated on the Certificate of Registration (CR).

You simply need to prepare the following documents first:

Original and a photocopy of the Loan Contract
Chattel Mortgage Form
Two (2) of the following valid government-issued photo ID from the registered car owner
- Driver’s License
- Philippine Passport
- Professional Regulation Commission (PRC) ID
- SSS ID
- GSIS ID
- BIR ID
- TIN ID
- Voter’s ID
Taxpayer’s Identification Number (TIN)

Once these documents are ready, you may now go to the bank or the lending company who financed your loan to obtain these additional documentary requirements:

Original Certificate of Registration (CR) of the vehicle
Latest original and photocopy of the Official Receipt (OR) of payment for the vehicle
Chattel Mortgage Contract duly-annotated or stamped by the Registry of Deeds (RD)
Original Registered Promissory Note with Chattel Mortgage
Two (2) copies of the Release of Chattel Mortgage
Official Receipt (OR) of payment of the annotation with Registry of Deeds
Motor Vehicle Inspection Report (MVIR) (Motor Vehicle Inspection Report)
Confirmation of CR/OR (CIR-91-137) if issued by other LTO Agency

Note: You will need to have some funds at hand as you will be charged for the notarial fee to get the documents notarized before it can be released. The notarial fee ranges from P300.00 to P400.00.

Once the documentary requirements are ready, you may proceed with the application for annotation and cancellation of chattel mortgage at the designated LTO office.

Important Reminders

For your reference, here are some important things you need to remember:

Make sure to fully pay off your car loan first.
Ensure that your car’s registration is up-to-date, accurate, and that there are no pending penalties.
Maintain frequent contact with the lending company or bank that provided the loan and keep the records straight.
As with any transaction with the LTO, it pays to go early.
You will also need to visit the Registry of Deeds before going to the LTO. Their branches are relatively easy to find, and it’s likely that each city will have a branch.
When visiting the Land Transportation Office, you need to visit the branch indicated on your car’s certificate of registration and not just any LTO branch.
Once the LTO prints out a new CR minus the “encumbered” status, you are now the official owner of the vehicle.

Video: What is CRE?

Learn more about what CRE is for and about by watching this video from Maluya Baby:

Frequently Asked Questions (FAQs) on Encumbered Cars

For your reference, here are some of the most common questions and answers regarding the CRE.

1. If the CR says LTO Diliman District Office, can I process the removal of the encumbered status in any other LTO branch?

No. You can’t process the removal of your motor vehicle’s encumbered annotation anywhere. You need to go to the exact LTO branch indicated on the car’s CRE.

2. What does a “secured car loan” mean?

A secured car loan means a loan taken out from a lending or financial institution. This loan type means that if you miss one or two monthly amortization payments (depending on the financial institution), the lender has the right to “repossess” the property.

3. Can you sell a car with an encumbrance?

Yes. You can sell a car with an encumbered annotation. However, you’ll need to acquire the consent of the financial institution in written form as selling the encumbered car without it is punishable by law.

4. How much will it cost to remove my car’s encumbered status?

Excluding the actual car loan, the total fee to get the CRE converted to CR and remove the encumbered annotation costs around P1,000.00. You’ll also have to consider making multiple copies of many documents, so you will need to allot funds for that as well.

5. Can I process the removal of the “encumbered” status before completely paying off the car loan?

No. You’ll have to finish paying off the car loan first before processing the removal of the encumbered annotation.

Summary

A Certificate of Registration Encumbered (CRE) is a document that proves that a motor vehicle was acquired through a bank or secured loan and that it is owned by the lender instead of the buyer. It is a document that is similar in nature to LTO’s Certificate of Registration (CR), but with the addition of the encumbered annotation that proves that it was acquired with the help of a loan and now serves as a collateral. A CRE can also be converted to a regular CR, but it will require full repayment of the loaned amount before doing so.

List of LTO Driver’s License Restriction Codes and Meanings

When you get a driver’s license, it is a must to know which types of motor vehicles you are only allowed to drive legally. This is where the old driver’s license numerical restriction codes apply. However, in 2021, the Land Transportation Office (LTO) rolled out a new alphanumeric code set called Driver’s License (DL) codes and condition codes to specify which vehicle/s you are licensed to drive.

The new DL codes now have nine DL codes, ranging from A to CE, to represent the general types of vehicles. Each DL code is further subdivided into more specific alphanumeric subcategories called Vehicle Category codes to indicate the types of vehicles each DL code holder may operate. These Vehicle Category codes are found on the right of the DL codes at the back of the license. Each alphanumeric code set corresponds to a specific type of vehicle that the license holder may operate.

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What are Driver’s License (DL) Codes

Driver’s license (DL) codes refer to the new alphanumeric codes used by the LTO in place of the old numerical driver’s license restriction codes. It comes in nine different categories, ranging from A to CE, which corresponds to the general types of vehicles. These nine DL categories all have subcategories called Vehicle Category codes which indicate the specific type of vehicle that the license holder may legally operate in the Philippines.

These DL and condition codes are indicated in an individual’s license, regardless if it’s a Professional or a Non-Professional Driver’s License. These codes tell the authorities if the license holder is authorized to drive certain vehicles. Likewise, it tells them if the driver is l operating a vehicle they shouldn’t be touching on Philippine roads, which may lead to hefty LTO fines and violations. More than the fines and penalties, the violations that come with driving vehicles you aren’t l1pl to be driving may keep you from acquiring the 10-year validity license or may get your vehicle impounded.

What are the Different Driver’s License (DL) Codes and Vehicle Category Codes, and What Do They Mean

For your reference, here are the nine Driver’s License (DL) codes together with the respective vehicle category codes under them.

DL Code A: Motorcycle

DL Code A refers to the license code reserved for drivers who want to drive motorcycles. This code covers any motorcycle model in the Philippines (e.g., Mio, Aerox, NMax, Smash, Barako, etc.), as well as all types of transmissions, from Automatic to Semi-automatic and Manual transmissions.

License holders with DL Code A may also be eligible to drive the following Vehicle Category Codes:

L1

Two-wheeled vehicle with a maximum design speed not exceeding 50 kph

L2

Three-wheeled vehicle with a maximum design speed not exceeding 50 kph

L3

Two-wheeled vehicle with a maximum design speed exceeding 50 kph

DL Code A1: Tricycle

This DL Code covers all three-wheeled motor vehicles, including motorcycles with sidecars. As it covers three-wheeled vehicles, this license code also allows drivers to operate transport tricycles and e-tricycles such as Bajaj Re, Yamaha Tricity4, and tuk-tuk (or bokyo). On top of the three-wheeled motor vehicles, this code also covers four-wheeled vehicles with limited unladen mass—meaning, when the vehicle has limited weight when not carrying passengers or other items—and maximum design speed.

All license holders with DL Code A1 may also acquire legal permission to drive the following Vehicle Category Codes:

L4

Motorcycle with sidecar and with a maximum design speed not exceeding 50 kph

L5

Three-wheeled symmetrically arranged vehicles with a maximum design speed exceeding 50 kph

L6

Four-wheeled vehicles with unladen mass of not more than 350 kg and with a maximum design speed not exceeding 45 kph

L7

Four-wheeled vehicles with unladen mass of not more than 550 kg and with a maximum design speed of not exceeding 45 kph

DL Code B: Passenger Car

This Driver’s License Code covers all car models with up to 8 seats and a mass of not more than 5000 kg. This category allows license holders with DL Code B to drive hatchbacks, coupes, sedans, and SUVs.

It covers one Vehicle Category Code under it, the M1.

M1

This Vehicle Category refers to all vehicles with fewer than eight seats and a Gross Vehicle Weight (GVW) of not exceeding 5000 kg.

DL Code B1: Passenger Van or Jeepney

This DL Code covers all passenger van models like Honda Odyssey, Toyota Hiace, Ford Transit, etc. as well as the popular mass transport jeepney model.

The Vehicle Category Code under B1, includes:

M2

This Vehicle Category Code refers to passenger vehicles with more than eight seats and a GVW of less than 5000 kg.

DL Code B2: Light Commercial Vehicle

This DL code allows drivers to operate all cargo four-wheelers transporting goods and other items for business or commercial purposes. Some vehicle models under this category include Suzuki Carry, Hyundai H100, Isuzu Travis, and Mitsubishi L300.

The Vehicle Category code under B2 is N1.

N1

This vehicle category code refers to vehicles used for the carriage of goods, with a maximum GVW of not exceeding 3500 kg.

DL Code C: Heavy Commercial Vehicle

Drivers with this DL Code are allowed to drive large trucks such as garbage, containers, and fire trucks.

There are two Vehicle Category codes under this DL Code:

N2

The vehicles under this category are generally used for the carriage of goods, with a maximum GVW of more than 3500 kg but less than 12000 kg.

N3

The vehicles under this category are used for the carriage of goods, with a maximum GVW exceeding 12000 kg.

DL Code D: Passenger Bus

The drivers with this DL Code on their licenses are allowed to operate any bus model in the Philippines.

There’s only one Vehicle Category code under the DL Code D:

M3

M3 refers to vehicles with more than eight seats and a maximum GVW of more than 5000 kg.

DL Code BE: Light Articulated Vehicle

The driver’s license with this DL code is allowed to drive light articulated vehicles that have permanent or semi-permanent pivot joints with lower GVW, like cars with trailers.

The Vehicle Categories under this DL Code are:

O1

Articulated vehicles with GVW of less than 750 kg.

O2

This code allows the license holder to drive articulated vehicles with GVW not exceeding 3500 kg.

DL Code CE: Heavy Articulated Vehicle

The only difference between this DL Code and the previous one is that this has a higher Gross Vehicle Weight requirement. The Vehicle Categories under this DL Code are

O3

Articulated vehicles with GVW exceeding 3500 kg but less than 10000 kg

O4

Articulated vehicles with a GVW of over 10000 kg.

Why is it Important to Know the DL Codes

Knowing the Driver’s License (DL) code you are licensed to drive means you can avoid facing penalties and charges for getting caught driving a type of vehicle that you’re not licensed to drive. This saves not only time and money, but also ensures that you can avoid hefty LTO fines and the possibility of getting your vehicle impounded. Plus, it keeps the possibility of getting a 10-year validity license upon renewal.

What are the Equivalent DL Codes of Previous Restriction Codes?

The basis for vehicle classification in the previous restriction codes is the Gross Vehicle Weight (GVW) and clutch type only. This makes the old system open for misinterpretation. With the new DL codes, the LTO has implemented a more comprehensive restriction system based not only on GVW and clutch type, but also on seat number and maximum vehicle design speed to create a more standardized restriction system.

Here’s a list of the equivalent DL codes with the old LTO restriction codes, according to LTO:

Restriction Code 1

The old Restriction Code 1 (RC 1) allows license holders to drive motorbikes or motorized tricycles. In the new DL codes, it is equivalent to two DL Codes: A and A1.

Restriction Code 2

RC 2 allows drivers the legal permission to drive motor vehicles with up to 4500 kg of GVW. In the new DL code, this is equivalent to DL codes B, B1, and B2, but only those with manual transmission.

Restriction Code 3

RC 3 refers to the restriction code that only allows drivers to operate motor vehicles with above 4500 kg of GVW. It was replaced by DL Codes C and D, though only those with manual transmission.

Restriction Code 4

RC 4 refers to the old restriction code that allows drivers to operate motor vehicles with automatic transmission with a GVW of up to 4500 kgs. It is equivalent to the new DL codes B, B1, and B2, but only those with automatic transmission.

Restriction Code 5

RC 5 refers to the old restriction code that allows licensed drivers to operate vehicles with automatic transmission and with a GVW of above 4500 kgs. It was replaced by DL Codes C and D, though only those with automatic transmission.

Restriction Code 6

The old RC 6 allows license holders to operate articulated vehicles with GVW of 1600 kg & below. The new DL Code BE replaces the old DL restriction code 6.

Restriction Code 7

RC 7 refers to the DL restriction that allows drivers to operate articulated vehicles with GVW of 1601 kg up to 4500 kgs. It is replaced by the new DL Code BE.

Restriction Code 8

RC 8 refers to the old restriction code that allows licensed drivers to operate articulated vehicles with GVW of 4501 kg & above. Since 2021, it has been replaced by DL Code CE.

Where to Find LTO Driver’s License Codes

The new DL codes can be found at the back of your driver’s license and directly on the right of each DL code consist of three components:

How to Read the New DL Codes in Your License

The first set of alphanumeric codes indicates the vehicle categories you can operate. In the second set of codes, you can find license classification. “PL” refers to a professional license, whereas “NP” means non-professional license. The last set of alphanumeric codes in the line indicates the transmission type or clutch. “MT” refers to a manual transmission, while “AT” refers to an automatic transmission. Note that if the restriction indicates “MT,” you can operate both manual and automatic transmissions, but if the restriction is “AT,” you may only drive automatic transmissions.

New LTO Condition Codes

Aside from the restriction codes, the LTO also rolled out new condition codes to identify the driver’s conditions and help them drive safely, depending on their needs and ability to operate a vehicle, as judged by the LTO driver evaluator. While the old condition codes used letters, (A, B, C, D, E), the new condition codes use numbers (1, 2, 3, 4’5.

Here’s the updated list of condition codes that may or may not be indicated in your driver’s license:

Condition Code 1

The condition code 1 replaced Condition Code A and requires license holders to wear corrective lenses. It is for individuals wearing contact lenses or eyeglasses to drive the vehicle.

Condition Code 2

The condition code 2 replaced Condition Codes B and C and requires license holders to drive only w/ special equipment for upper/ lower limbs. It is for individual drivers with upper or lower limb impairment, whereas the old system puts them under two different codes depending on which parts are affected.

Condition Code 3

The condition code 3 requires license holders to drive customized motor vehicles only. It is a new addition. It refers to motor vehicles personalized to address the unique disability of an individual not belonging to other conditions.

Condition Code 4

The condition code 4 only allows daylight driving to registered license holders. It is unchanged and was the same as the old Condition Code D.

Condition Code 5

The condition code 5 requires license holders to wear hearing aids. It used to be Condition Code E, but it has been updated to allow individuals with hearing loss to drive a car without the aid of a person with normal hearing.

Important Reminders

For your reference, here are some important tips to remember:

In the old LTO system, Restriction Codes 1, 2, and 4 only apply to non-professional driver’s license used mainly for private vehicles.

Drivers who wish to earn a living out of driving must apply for a professional driving license.

The new DL code restriction code system is based on the European and United Kingdom version.

Drivers who are approved of driving a manual transmission (MT) vehicle is allowed to also drive automatic, whereas those approved for automatic transmission (AT) can not drive manual.

Drivers with licenses issued by ASEAN member-state government are allowed to drive in the Philippines.

Video: Understanding LTO DL Codes

You can learn more about the restriction codes and their meanings by watching this explainer video posted by Jeff Ski.

Frequently Asked Questions (FAQs)

To help you better, we rounded up the most common questions and answer related to restriction codes here:

1. Can I get additional restriction codes when changing the classification of my Non-Professional Driver’s License into a Professional Driver’s License?

Yes. It is possible to get additional restriction codes in your driver’s license when you request for a change in classification (from your Non-Professional to a Professional Driver’s License). Naturally, you will be charged Php 100.00 for the Additional Restriction.

2. Can I retain the same restriction code when converting my foreign license into a Philipine License?

No. When converting a foreign driver’s license, you are only allowed to convert one vehicle category at most. You are, however, allowed to get additional restriction code after a month unless the driver’s license to convert is a Professional Driver’s license in countries with right hand drive.

3. What is Gross Vehicle Weight (GVW)?

Gross vehicle weight (GVW) refers to the motor vehicle’s maximum operating weight as specified by your car’s manufacturer. The average GVW for most passenger vehicles out in the market is 1,814 kg. This means that your car falls under restrictions 2 and 4.

4. Am I allowed to drive an automatic transmission vehicle if my driver’s license doesn’t have restriction code 4?

No. According to the LTO, license holders with restriction 2 and 3 are allowed to drive both an automatic and manual transmission operated vehicle. However, those who have restrictions 4 and 5 are not allowed to drive a manual transmission operated vehicle, hence an automatic transmission operated vehicle only.

5. What is an articulated vehicle?

Articulated vehicles refer to a type of vehicle that comes with a permanent or semi-permanent pivot joint in its construction. These include buses, trucks, trams, and trains. Restriction code for articulated vehicles is usually only present in professional driver’s licenses only.

6. Can I still drive without a 20/20 vision?

Yes, you can still drive even if you do not have a 20/20 vision. LTO will most likely add Condition Code 1 on your license which states that you should wear eyeglasses/corrective lenses while driving.

7. Can I operate vehicles for hire if my driver’s license has Condition Codes?

LTO states that license holders with conditions 2, 3, 4, or 5 are not allowed to operate for-hire/public utility vehicles or commercial vehicles unless they get expressly allowed in writing by a qualified medical specialist.

Summary

Whether it is the old restriction codes or the new DL codes, driver’s license restrictions are in place to regulate drivers and vehicles. With the help of these codes, people without proper knowledge and experience are prohibited by the LTO from driving vehicles that might endanger themselves, the pedestrians, and the other motorists around.

What are Protocol Plates (Low-Numbered License Plates)

Protocol plates, like regular vehicle license plates, are issued and regulated by the Land Transportation Office (LTO), a government agency under the Department of Transportation (DOTr). As the name suggests, it is not a number plate available for everyone. It is reserved only for a select group of people of high-ranking government officials in particular, though it still needs to be secured from the LTO like any regular number plate.

Note that protocol plates are also known as low-numbered license plates issued in the Philippines. It is reserved for top government officials in the country, and bears the same paint scheme as that of private vehicles. These number plates are plainly marked with the official designation, with some types allowed to bear distinguishing flags, stars, and emblems.

The low-number or protocol plates may also be used by other officials with equivalent rank or position as the designate of such numbers, though such use is subject to the approval of the Secretary of the Department of the Transportation upon the recommendation of the Assistant Secretary of the Land Transportation Office.

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What are Low-Numbered Plates

Low-numbered plates, also known as protocol plates, are motor vehicle license plates designated and reserved for use by top government officials of the Republic of the Philippines, and have the same paint scheme as private vehicles. These number plates are issued in pairs for motor vehicles duly registered in the name of the designated officials or to their respective spouses. These plates are supposed to help with the security and traffic access of high-ranking government officials. They are also often accompanied by armed uniformed escorts.

Like the ability to drive in the Philippines, the use of protocol plates are also regulated, despite being offered as a privilege like regular and special LTO license plates (e.g. vanity license plates). However, there is a different set of guidelines or criteria for regulation and use of these low-numbered license plates.

Who Can Use Low-Numbered/Protocol Plates

The use of protocol plates was originally established and governed by law, thanks to Executive Order (EO) 287. Under this law, all motor vehicles purchased or owned by any department, bureau, office, division, branch, or unit thereof, or of any agency or instrumentality of the Government, including those of the corporations owned and controlled by the Government, shall be promptly registered in the Motor Vehicles Office and shall bear at all times official registration number plates with the official designation “PI” and a government shield.

This law also provided a uniform system for the registration of motor vehicles and assignment of motor plates to motor vehicles used by officials of the Government of the Republic of the Philippines and duly-accredited officials of foreign states to the Philippines. The law governing such use of protocol plates has been updated several times, in 1960, 1978, and in 2005.

In 2005, the Land Transportation Office (LTO) in the Philippines decided to hit the brakes on the proliferation of the “supposed” top official vehicle license plates. Under this law, the list was simplified into only 17 official designations, though a clause saying that people of the same rank may use the low-numbered plate, upon approval.

This law entitles the following to the use of the following low-numbered or protocol plates:

1 – President

2 – Vice President

3 – President of the Senate

4 – Speaker of the House of Representatives

5 – Chief Justice of the Supreme Court

6 – Cabinet Secretaries

7 – Senators

8 – Representatives (Congressmen)

9 – Associate Justices of the Supreme Court

10 – Presiding Justice and other Justices of the Court of Appeals.

11 – Chairman, Commission on Elections

12 – Cabinet Undersecretary

13 – Solicitor-General

14 – Chief of Staff of the Armed Forces of the Philippines and Chief of the Philippine National Police

16 – Regional Trial Court Judges (e.g. 16*NCR)

17 – First Level Courts, including Metropolitan Trial Court, Municipal Trial Court, Municipal Trial Court in Cities, and Shari’ah Circuit courts for the use of assistant city prosecutors, district prosecutors and chief city prosecutors. (Stamped with initials of 17*ACP or court branch number).

Guidelines in Using Protocol Plates

In recent news, the Department of Transportation (DOTr) has released a new set of guidelines promptly defined in the DOTC’s Department Order (DO) 2014-004, to be observed and implemented in relation to the use of the protocol plates issued by the LTO.

These new guidelines include:

Government officials will now have to surrender their original motor vehicle plates to the Land Transportation Office (LTO) before requesting for protocol plates from the DOTC.

The new protocol plates from the DOTr now come with expiry dates.

The expiry dates of each protocol plate coincide with the term of the public official

The protocol plates also indicate the office being served as well as the locality and the region the public official is from.

It should bear the markings to indicate the duration of effectivity (e.g. 16th Congress, 2010-2016, etc.).

Protocol plates should be displayed on top of the vehicle’s regular plate.

Protocol plates must be placed in front and in the rear part of the vehicle.

The protocol plates will need to be surrendered to the LTO upon expiration.

The LTO will then issue a clearance certificate upon surrender of the protocol plate and prior to the return of the original plate number to the owner.

Note that in the official guidelines outlining the issuance and use of protocol plates, not more than two pairs of the said license plates are allowed to be issued to two (2) motor vehicles of any of the assigned officials with the exception of the President of the Philippines, the Vice President of the Philippines, the President of the Senate, the Speaker of the House of Representatives, and the Chief Justice of the Supreme Court. Senators and Congressmen, for instance, may be allowed not more than four (4) pairs of low-numbered/protocol plates.

Summary

Protocol plates are issued mainly for the convenience and safety of top government officials in the Philippines. Unfortunately, through the years, the use of certain protocol plates, particularly those that bear the number “8” have become abused as they are being used in vehicles that are neither driven nor used not by congressmen themselves. Instead, the plates are either being transfered or are being used in vehicles driven by other family members as they roam the streets like members of royalty in heavily-tinted vehicles sporting low-numbered car plates, which is a clear violation of the law. Now, more people, including the officials themselves, are calling for the abolition of this privilege, saying that these protocol plates are being used as an excuse to expect “regular” cars to “part like the Red Sea” and to blatantly disregard traffic rules and regulations.

To date, the use of protocol plates continue, but the call for its abolition remains a controversial topic, thanks to the continuous use of this issue as a form of campaign material (e.g. former President Aquino’s no wang-wang policy and no counterflow) and the continuous call for the total removal of this unnecessary plates from the Philippine public roads.