The hidden headache
November 11, 2009
By Bill Jones
Director of Product Management, PHH Arval
For years, there’s been a “hidden headache” that plagues many companies – managing E*Tolls. An E*Toll (electronic toll) collection system, such as EZ Pass, allows vehicles to continue through toll facilities without stopping or having to have cash in hand. This all works great until the E*Toll account is under-funded and generates fines. In fact, with ever-increasing toll fees and enforcement, we're seeing an increase in toll violations and the resulting fines.
Here’s what typically happens with an E*Toll account: Fleet drivers set up pre-paid accounts for particular electronic toll agencies using personal or corporate credit cards. Whenever a driver uses a toll facility, a deduction is made from the account in the amount of the toll. Once a pre-determined level is hit, the account automatically "replenishes" with a charge to the credit card on file. If drivers under-fund or default on a credit card account, fines result when they use electronic toll facilities, which can prove costly to the company. An additional challenge is that when drivers use expense reports to reimburse these accounts, their companies find it difficult to track actual transportation/toll expenses and understand their total cost picture.
We’re tuned in to what our fleet managers have been telling us and have developed a solution to this problem. Under the PHH E*Toll program, we provide a uniform means of paying and tracking toll expenses. The program can be applied at any U.S. E*Toll agency that accepts credit card payments. Fleet managers can track actual fleet spend related to E*Tolls through PHH InterActive and pay for these expenses through consolidated billing. Drivers no longer have to expense tolls and wait for reimbursement.
Our clients who are using the E*Toll Funds Management program tell us it solves this administrative headache – and is saving them plenty of money in fines.
Violations Management
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