The Future of Texas Temp Tags

Once House Bill 3927 was passed, it stated that starting December 9, 2022, the Texas Department of Motor Vehicles (TxDMV) would be allowed to place limits on the number of temporary tags (temp tags) licensed dealers in Texas can create. This also changed the way the paper temp tags look. Now, House Bill 718 (HB 718) might remove paper temp tags for good.

What Did They Change and Why? 

On December 9, 2022, temp tags changed. They got a visual overhaul that allows for enhanced security features that make it more difficult than ever to create fake temp tags, helping to combat the problem of paper temp tag fraud. But is this where temp tags stop evolving? Nope.

What is the Future of The Texas Temp Tag?

As of May 1, 2023, House Bill 718 (HB 718) is pending. If HB 718 passes, then paper temp tags will be replaced with metal temp tags.

There’s no reason to panic just yet, it won’t take effect until 2025.

So, what does this mean for dealers?

How Does This Impact Dealers?

At The Title Girl, we are constantly monitoring and gathering industry news including updates to HB 718. Going from paper temp tags to metal temp tags sounds like a great plan when you’re trying to prevent someone from printing out a fake temp tag but how does this impact dealers?

How will dealers keep an adequate supply of metal license plates on hand? What will the process look like for out-of-state customers? How will dealers cover the extra expense of keeping these metal plates safe and secure?

Fortunately, it appears that the TIADA has collaborated with the bill's sponsors to push back the proposed law's effective date to a date two years from now, ensuring that dealers' operations won't be hampered. For now, the visually updated paper tags are all we have to go off for the moment. It’s a great step in the right direction, but it’s going to take some time to come up with solutions for any issues that may arise with the passing of HB 718. And that’s what we’re for! To keep track of everything going on so you don’t have to!

How Does The Title Girl Help?

Temp tags are very important, if not the most important piece of information the customer obtains after buying a car. With the new design of the paper temp tags and the potential approval of HB 718, internal processes might be changing again.

Our purpose at The Title Girl is to make your job easier. To help you keep your dealership running as smoothly as possible.

Stay up to date with The Title Girl regarding developing news on this topic!

Previous
Previous

House Bill 3297 Could Eliminate Annual Car Inspections

Next
Next

Registration Impact Portal (RIP) 101: How to Audit