Texas Towing Laws: Fees, Kickbacks & Your Rights

What Are Texas Towing Laws and Why They Matter?

Texas towing laws exist to protect you from predatory pricing and shady business practices. These regulations set clear limits on what tow companies can charge.

Without these protections, tow operators could charge whatever they want. That's why understanding your rights matters so much.

The state enforces rules through the Texas Transportation Code. These laws cover everything from initial towing fees to long-term storage charges.

What Are the Maximum Towing Fees in Texas?

Texas doesn't set a statewide maximum towing fee. Instead, cities and counties can establish their own limits.

Most Texas cities cap basic towing between $75 and $150 for the initial service. Heavy-duty or long-distance tows cost more.

Here's what you should know about Texas towing fees:

• Basic towing: Usually $75–$150 depending on your city
• Mileage charges: $3–$5 per mile after the first 5–10 miles
• Heavy-duty tows: Can exceed $300–$500 for specialty equipment
• After-hours service: May add $25–$50 to base fees
• Winch-out service: Typically $150–$300 extra

Always ask for a written estimate before the tow begins. This protects you from surprise charges later.

For more detailed pricing across the state, check our towing cost guide to compare rates in different Texas regions.

How Do Texas Storage Fees Work?

Once your car reaches the tow lot, storage fees kick in. Texas allows daily storage charges, but they're regulated.

Most Texas tow yards charge $15–$25 per day for standard vehicle storage. Specialty vehicles cost more.

Here's the critical part: You must be notified of storage fees before they start piling up. The tow company should provide written notice explaining daily rates.

Key storage fee rules in Texas:

• Daily rates: $15–$25 for most vehicles
• Notification required: Within 24 hours of impound
• Payment location: Must be accessible during business hours
• Lien sale timeline: 30 days minimum before selling your car
• Overnight fees: Some yards charge for 24-hour access

Warning: Storage fees add up fast. A vehicle stored for 30 days could cost $450–$750 in fees alone. Retrieve your car quickly to minimize charges.

Learn more about storage regulations in our guide to towing storage fees by state.

What Are Kickbacks and Why Are They Illegal?

Kickbacks happen when a tow company pays a repair shop to send business their way. This is illegal in Texas and most states.

Here's how kickbacks hurt you: Your car gets towed to an expensive repair facility that paid the tow operator for the referral. You pay inflated repair prices because the shop needs to recover that kickback payment.

Texas law prohibits kickbacks because they:

• Inflate repair costs unfairly
• Remove your right to choose where repairs happen
• Create conflicts of interest between tow companies and shops
• Waste your insurance deductible money
• Violate fair competition principles

If you suspect a kickback scheme, report it to the Texas Attorney General's office. You can also file a complaint with your insurance company.

What you should do: Always ask the tow operator "Where are you taking my car?" If they seem to have a preferred shop, ask if they receive payments from that shop. Request they take your vehicle to a shop of your choice instead.

Can You Choose Where Your Car Gets Towed?

Yes. You have the right to direct your vehicle to a specific repair shop or storage facility in most Texas situations.

This right applies to:

• Accidents you cause (not police-ordered tows)
• Roadside breakdowns
• Private property towing disputes
• Insurance-covered towing

Police-ordered tows are different. When police order a tow, they may have an impound lot you must use. You don't get to choose in these situations.

For private tows, speak up immediately. Tell the tow operator your preferred destination before they hook up your vehicle. Get it in writing if possible.

Your insurance policy might also specify approved repair shops. Check your policy before deciding where to go.

For more on your rights after a tow, read our complete guide on what to do when your car gets towed.

What Does Texas Law Say About Notification and Transparency?

Transparency is your best protection. Texas requires tow companies to give you clear information about fees and your vehicle's location.

Here's what tow operators must tell you:

• Itemized list of all charges before you pay
• Storage facility location and hours
• Daily storage rate (in writing)
• Your right to retrieve the vehicle within 24 hours
• Contact information for the tow company and facility

If a tow company refuses to provide this information, that's a red flag. Ask for a manager or request everything in writing.

Texas also requires posted signs at tow yards. These signs must clearly display daily storage rates and payment procedures. Before leaving your vehicle, take photos of these signs as evidence of the rates you were told.

Keep all receipts and written estimates. These documents prove what you were charged and protect you if you need to dispute fees later.

How to Retrieve Your Vehicle From an Impound Lot?

Getting your car back quickly saves money. Here's the step-by-step process:

1. Contact the tow yard immediately: Call within hours of being towed. Ask for the exact location and hours of operation.
2. Bring valid identification: Your driver's license and proof of vehicle ownership (registration or title).
3. Request an itemized invoice: Ask for a detailed list of all charges before paying anything.
4. Inspect your vehicle: Check for damage before paying. Take photos of any new dents or scratches.
5. Ask about payment options: Most yards accept cash, card, or checks. Confirm before you arrive.
6. Pay and get a receipt: Never leave without written proof of payment. This protects you from false claims later.
7. Document everything: Take photos of the receipt, your vehicle, and the lot conditions.
8. Drive safely home: Have the vehicle inspected by a mechanic if the tow was rough.

Pro tip: Call ahead to confirm your car is actually at that location. Some people waste time and money going to the wrong yard.

If you can't retrieve your vehicle in person, you can authorize someone else with a signed letter of permission. Include your ID copy with the letter.

What Are Your Rights in Private Property Towing Situations?

Private property towing has different rules than public road towing. Property owners can have your car towed if you park illegally on their land.

But even private tows must follow Texas law:

• Warning signs must be posted and visible
• Tow company must be licensed
• Charges must be reasonable and itemized
• You can dispute unfair fees
• Vehicle must be accessible within 24 hours

The property owner can't tow your car without legal notice. They must provide clear signage about towing policies and fees.

If you believe a private tow was illegal or unfair, you can:

• File a complaint with the Texas Attorney General
• Contact the Better Business Bureau
• Sue in small claims court for damages
• Report to the property owner's management

Learn more about your rights in our guide to private property towing laws by state.

How to Dispute Unfair Towing Charges in Texas?

If you think a tow company overcharged you, don't just accept it. You have legal options.

Here's how to dispute unfair charges:

1. Gather documentation: Collect your receipt, written estimate, and photos of the lot's posted rates.
2. Contact the tow company: Call the manager and explain why you believe the charge is excessive. Stay calm and professional.
3. Request a written explanation: Ask them to justify the charges in writing. This creates a paper trail.
4. File a complaint with the city: Most Texas cities regulate towing. Submit a formal complaint to your local government office.
5. Contact the Texas Attorney General: The state oversees consumer protection. They investigate predatory towing practices.
6. Notify your insurance company: If the tow was insurance-covered, report the excessive charges. They may refuse to pay or negotiate lower rates.
7. Consider small claims court: For charges under $20,000, you can sue in small claims without an attorney.

Keep copies of all correspondence. Document dates, times, and names of people you speak with.

Most disputes get resolved quickly if you stay organized and professional. Tow companies know they're being watched, and many will reduce charges if challenged properly.

What Insurance Coverage Applies to Towing in Texas?

Your insurance might cover towing costs, depending on your policy. This saves you money and gives you legal protection.

Common towing coverage options:

• Roadside assistance: Usually covers $50–$100 per tow
• Comprehensive coverage: May include towing for accidents
• Towing endorsement: Extra coverage you add for $10–$20 yearly
• AAA membership: Includes towing as a membership benefit

Check your policy or call your insurance agent to confirm what's covered. Some policies cover only one tow per year. Others reimburse you after you pay.

If your insurance covers the tow, you may have more protection against overcharges. Insurance companies negotiate rates with tow operators and often refuse to pay excessive fees.

For detailed coverage information, read our guide to towing insurance coverage.

How to Find a Licensed, Reputable Tow Company in Texas?

Not all tow companies follow the law. Choosing a licensed, reputable operator protects you from scams and overcharges.

Here's how to find a trustworthy tow company:

• Verify licensing: Ask for their Texas Department of Licensing and Regulation (TDLR) license number. Check it at tdlr.texas.gov.
• Check online reviews: Google, Yelp, and BBB ratings show customer experiences.
• Ask about insurance: Licensed operators carry liability insurance. Request proof.
• Get upfront pricing: Reputable companies quote prices before towing.
• Ask about complaints: Call your city to see if they've had complaints about a specific company.
• Use your roadside service: AAA, insurance company networks, and memberships connect you to vetted operators.

Use USA Tow Finder to locate licensed towing services in your Texas city. Our directory includes verified providers with customer ratings.

For more on choosing quality operators, check our expert guide on how to choose a reliable tow truck company.

What Happens With Police-Ordered Tows in Texas?

Police-ordered tows follow stricter rules than private tows. When law enforcement orders a tow, your vehicle goes to an authorized impound lot.

Common reasons for police-ordered tows:

• Accident investigation holds
• Vehicle seized for evidence
• Suspended license or registration
• Illegal parking in high-traffic areas
• Vehicle deemed unsafe for road use

With police tows, you usually can't choose the facility. The police department selects an approved impound lot. However, you still have rights:

• You can retrieve your vehicle once the hold is released
• Charges must be itemized and reasonable
• You can dispute fees through the city
• The vehicle must be safely stored

Contact the police department's non-emergency line to learn why your vehicle was towed and where it's stored. Ask about the hold timeline and when you can retrieve it.

For more information, read our guide to police-ordered tows and your rights.

Key Texas Towing Laws Checklist

Use this checklist to protect yourself before and after a tow:

• Before towing: Ask for a written estimate and itemized fee breakdown
• During towing: Take photos of your vehicle's condition and the tow yard's posted rates
• Payment: Never pay cash without a receipt. Use card or check for documentation
• Disputes: Keep all receipts, estimates, and correspondence with the tow company
• Reporting: File complaints with your city, state, or insurance company if charges are unfair
• Retrieval: Get your vehicle within 24 hours to minimize storage fees
• Insurance: Notify your insurer about excessive charges immediately
• License verification: Always confirm the tow company has a valid TDLR license

Frequently Asked Questions About Texas Towing Laws

Here are the most common questions people ask about towing in Texas:

Can a tow company charge extra for after-hours towing? Yes, most companies charge $25–$50 extra for nights and weekends. This is legal if disclosed upfront.

How long can a tow yard hold my vehicle? Texas law requires tow yards to release your vehicle within 24 hours of your request, provided you pay all charges.

What if I think the towing fee is illegal? Contact your city's code enforcement office or the Texas Attorney General. They investigate predatory towing complaints.

Can my car be towed for expired registration? Yes, in Texas an expired registration can result in a tow. However, the tow company must follow proper procedures and post warning signs on private property.

Do I need to pay storage fees while disputing charges? In most cases, yes. You must pay to retrieve your vehicle, but you can dispute fees later in court or with regulators.

What if the tow company damaged my car? Document the damage with photos and file a claim with the tow company's insurance. Keep your receipt and all correspondence.

Can I authorize someone else to pick up my car? Yes, provide them with a signed letter of permission and a copy of your ID. The tow yard can request additional verification.

Are tow companies required to accept payment plans? No, but many will negotiate. Ask the manager about payment options before your vehicle is sold for unpaid fees.

Additional Resources and Next Steps

Understanding Texas towing laws empowers you to protect your wallet and your rights. Here's what to do next:

Save important contact information: Keep the Texas Attorney General's number and your city's code enforcement office in your phone.

Review your insurance policy: Call your insurer and confirm your towing coverage limits and what's included.

Research local tow companies: Before you need one, find reputable licensed operators in your area on USA Tow Finder.

Share this information: Tell family and friends about Texas towing laws. Many people don't know their rights.

For broader information about towing regulations across the nation, check out our towing laws by state guide.

Prices from providers like AAA, GEICO, Progressive, and State Farm are current as of 2026. We're not affiliated with these companies.