A starter interrupt device (SID) is a GPS-enabled module installed in a vehicle at the time of sale, typically for customers with subprime credit. If the borrower falls behind on payments, the lender can send a signal that prevents the vehicle from starting. The device is deactivated once a payment is made.
Starter interrupt devices are most commonly used by lenders who finance high-risk borrowers. They reduce the lender's risk of default-related losses and can improve repayment behavior. Dealers must comply with state regulations governing their use.