‘Ghost cars’ with fake temporary paper tags were a problem in Texas. This law fixes that

Texas will soon say goodbye to temporary paper license plates thanks to a new state law.

Temporary paper license plates are issued on vehicles purchased from licensed Texas dealers during the title and registration process. In the weeks after purchasing the vehicle, the Texas Department of Motor Vehicles will mail the permanent metal plates to buyers.

Under House Bill 718 temporary metal plates will be issued immediately after a vehicle is purchased in Texas. Here’s what we know about the new law:

How does Texas HB 718 change the use of paper tags?

Dealerships will be required to issue a temporary metal license plate, rather than paper.

Not much will change for buyers, who will still receive their permanent metal license plates in the mail a few weeks after purchasing the vehicle. The only difference is that they’ll leave the dealership with a metal licensed plate, rather than a paper one.

The new law goes into effect on July 1, 2025.

What’s the issue with paper tags in Texas?

For years, Texas law enforcement have attempted to stop thieves from taking advantage of the temporary tags.

Criminals posing as legitimate dealerships are able to access the state’s webDEALER system and print off as many temporary paper tags as they want, according to KXAN. But the data in those paper tags are made up, including the vehicle identification number. This allows criminals to fly under the radar in what are called “ghost cars.”

These cars with fake paper tags on them, will pass a cursory inspection, but does not lead to a vehicle. So, say a motorist gets hit by a “ghost car,” the police would not be able to find a record of the car because of the fake tags.

“It makes it extremely difficult for law enforcement,” Sgt. Jose Escribano told KXAN. “You become anonymous.”

A more recent effort to discourage paper tags came from the death of a Grand Prairie police officer.

Officer Brandon Paul Tsai died in a crash last November when he tried to stop a car with a fake paper license plate near SW 3rd Street and Pioneer Parkway around 10:45 p.m. The vehicle fled and Tsai gave chase but lost control of his squad car and hit a light pole, later dying from his injuries at the hospital.

The Texas Department of Motor Vehicles began issuing redesigned paper tags to dealerships a month after Tsai’s death. Watermarks, new information and font size were some of the changes made to paper tags at the end of last year.

Now, Texas lawmakers have put an end to temporary paper license plates.