Texas · Walk-in purchase
Texas · Bottom line
HOLD 5 DAYS
Sourced fromReMA / ISRI State Metals Theft Law Database·Verified
Texas · At a glance
5-business-day hold • TX cash transaction card required for cash payment • LeadsOnline upload by close of 2nd business day
Seller must qualify
Seller must show ownership of the source vehicle or sign a statement of ownership
Full rule + accepted documents
Texas requires the Recycler to obtain one of the following from the Seller before purchase: (1) written documentation that the Seller is the legal owner or lawfully entitled to sell, (2) a statement of ownership signed by the Seller, or (3) a photograph of the Seller's vehicle with make, model, and license plate identifiable.
Accepted documents
- Vehicle title for the source vehicle
- Current vehicle registration
- Signed statement of ownership
- Photograph of Seller's vehicle with plate visible
Counter checklist
License
Verify state registration (renews every 2 yrs)
Confirm the Recycler is registered with the state. Registration is valid for two years; the Department sends an expiration notice at least 45 days before expiration. Local political subdivisions may also require a license or permit (max $100 fee).
Statute
Tex. Occ. Code § 1956.022
Statute: Tex. Occ. Code § 1956.022
Seller ID
Collect Seller ID + ownership doc
Obtain one of the following before purchase: (1) written documentation that the Seller is the legal owner of the source vehicle or lawfully entitled to sell, (2) a signed statement of ownership, or (3) a photograph of the Seller's motor vehicle with make, model, and license plate identifiable.
Statute
Tex. Occ. Code § 1956.033
Statute: Tex. Occ. Code § 1956.033
Recordkeeping
Photo converter + Seller; record VIN from title doc
Photograph the catalytic converter and the Seller. Record the VIN from the Seller's title or registration document — the converter itself is not VIN-stamped unless it was pre-etched. If the source vehicle is present, also capture make / model / plate.
Payment
If paying cash: confirm TX cash transaction card
If paying in cash, the Seller must present a cash transaction card issued by a Texas Recycler, OR you must obtain a copy of the Seller's card from your records. A Recycler may pay cash for Regulated Material only if registered with the state and licensed or permitted by the local political subdivision (if applicable).
Statute
Tex. Occ. Code § 1956.038
Statute: Tex. Occ. Code § 1956.038
Hold
Tag and hold 5 business days
Hold the catalytic converter for 5 business days (excluding weekends and holidays) before processing it or removing it from your place of business. Other regulated metals have different hold periods (8 days for cemetery items; varies by material).
Statute
Tex. Occ. Code § 1956.040
Statute: Tex. Occ. Code § 1956.040
Reporting
Upload to LeadsOnline by close of 2nd business day
Send the electronic transaction report to the Department by close of business on the 2nd working day after acquisition. Texas Recyclers fulfill this requirement via LeadsOnline — uploads should run daily as a matter of practice to avoid missing the 2-day window. Price paid is NOT required in the report.
Statute
Tex. Occ. Code § 1956.036
Statute: Tex. Occ. Code § 1956.036
Note
Failure to report on time may trigger Department suspension of cash-payment privileges. LeadsOnline is the de-facto upload system used by Texas Recyclers.
Statute citations
- Texas Occupations Code Title 12, Subtitle B, Ch. 1956 § 1956.001 – § 1956.204
- Texas Penal Code § 28.03, § 31.01 – § 31.21, § 71.02; Texas Transportation Code Title 7, Subtitle M, Ch. 1006
Recent amendments
- 2019 HB 1545 — Recordkeeping changes (effective Sept 1, 2021)
- 2021 HB 4110 — Additional catalytic-converter-specific requirements
- 2023 SB 224 — Increased recordkeeping + reporting requirements for cats
Source detail
Compliance data sourced from the Recycled Materials Association (ReMA / ISRI) State Metals Theft Law Database →
Last verified . ReMA updates the database periodically — confirm against current statute before relying on this in compliance decisions.
SafeYard · yardstack.org — Catalytic converter compliance reference for Texas (Buying a loose catalytic converter from a walk-in seller). Last verified 2026-05-25. Sourced from ReMA / ISRI. Not legal advice; verify against current statute.