How to Become a Repo Tow Truck Driver

To become a repo tow truck driver, you typically need a clean driving record, any state-required towing and repossession credentials, industry training (such as CARS certification), employment with or licensure as a repossession agency, compliant equipment and insurance, and strict adherence to “no breach of the peace” and other legal rules. This role blends towing expertise with legal precision and de-escalation skills, as drivers recover vehicles for lenders when borrowers default.

Contents

What the job involves
Step-by-step: qualifications, licenses, and training
Know your legal boundaries
Equipment and technology
Getting hired vs. starting your own agency
Safety, de-escalation, and professionalism
Costs, pay, and outlook in 2025
Frequently asked practical questions
Summary

What the job involves

Repossession drivers locate and secure vehicles on behalf of lenders, transport them safely, and document each step for legal and client compliance. The work is largely evenings and nights, involves contact with upset owners, and relies on clear procedures to avoid confrontation. Pay structures vary by region and employer, typically combining hourly wages with per-recovery bonuses. Demand for skilled drivers tends to track auto delinquencies, which have been elevated into 2024–2025, keeping the field active but highly regulated.

Step-by-step: qualifications, licenses, and training

The path into repossession towing has common milestones everywhere, but the exact requirements depend on your state and whether you work for an agency or run your own. The following steps outline the essentials most candidates will face.

Meet basic eligibility: Be at least 18 (often 21) with a valid driver’s license and a clean motor vehicle record. Many employers require background checks and drug screening.

Secure required state credentials: Some states license the repossession business, its managers, and/or its employees. Examples include California (repossession agencies licensed by BSIS; employees registered under the agency) and Florida (Class E Recovery Agent or EE intern via FDACS). Other states emphasize tow-operator permits or local business licensing. Always verify your state’s current rules before working.

Obtain tow-operator licensing/permits: States and cities often require a tow-truck operator’s license or permit and compliance with signage, storage, and fee rules. If you’ll drive heavy wreckers or certain combinations, you may need a CDL.

Complete industry training: Most large lenders and forwarders require a repossession-specific credential such as CARS (Certified Asset Recovery Specialist) and towing safety courses like WreckMaster or equivalent. Add first aid/CPR and de-escalation training.

Arrange insurance: Expect commercial auto liability, on-hook (in-tow), garagekeepers (if you store vehicles), general liability, and wrongful repossession coverage. Employers typically carry these; owner-operators must procure them.

Join a licensed agency or start your own: New drivers usually begin with an established, licensed repossession agency that provides a truck, training, and compliance infrastructure. Starting your own requires state licensure (where applicable), a compliance program, client contracts, and capital for equipment.

Set up compliance and documentation: You’ll use lender-approved platforms (e.g., RDN, Clearplan, iRepo, MVTrac), follow client SOPs, photograph collateral, inventory personal property, and maintain meticulous chain-of-custody records.

Learn the legal lines: “No breach of the peace” governs how you recover vehicles. You cannot use force, threaten, or break into secured structures. Know rules on military protections (SCRA), bankruptcy stays, and personal property handling in your state.

Completing these steps positions you for employment and reduces legal risk. Because standards evolve, build a habit of rechecking your state regulations and lender compliance updates annually.

Know your legal boundaries

Repossessions are permitted in most states under the Uniform Commercial Code (UCC) when done without breaching the peace. The following legal touchpoints shape everyday decisions in the field.

No breach of the peace: You cannot use or threaten force, cut locks, or enter closed garages. If an encounter escalates, disengage and try again later or seek a replevin (court order) through the client.

UCC 9-609 and state law: Self-help repossession is allowed only if it’s peaceful. Local rules may add notice, storage, and fee requirements for tows and impounds.

Servicemembers Civil Relief Act (SCRA): Special protections apply to active-duty servicemembers. Often, a court order is required to repossess if the obligation predates active service. Lenders usually screen and flag such accounts.

Bankruptcy stays: An automatic stay halts repossession immediately. If you learn of a filing, stop and notify the client.

Personal property handling: States typically require prompt inventory, secure storage, and notice to the borrower for retrieval of non-affixed personal items found in the vehicle.

Privacy and data use: Treat license plate recognition (LPR) data, photos, and personal information as sensitive. Follow client and state privacy policies and secure your devices and yard.

Police involvement: Officers may conduct a civil standby to keep the peace but should not help you overcome resistance. If the situation is volatile, leave.

Staying inside these lines protects you and your agency from wrongful repossession claims, regulatory scrutiny, and loss of client contracts.

Equipment and technology

Effective recoveries depend on the right truck, safety gear, and documentation tools. Employers may supply these; owner-operators must budget carefully.

Truck and towing gear: Wheel-lift or rollback (flatbed) truck, safety chains/straps, dollies, skates, and proper lighting. Ensure all equipment is inspected and maintained.

Access tools: Lockout kits used lawfully; key-cutting resources as authorized by the client; tire skates for tight spaces.

Documentation tools: Body/dash cameras, smartphone or tablet with secure apps, external lighting, and time-stamped photo capability.

Locating tech: GPS routing, assignment platforms (RDN, Clearplan, iRepo), and—where permitted—ALPR systems. Follow all vendor and privacy rules.

Yard security: Fencing, cameras, controlled access, and procedures for personal property storage and release.

Personal safety: High-visibility apparel, gloves, first aid kit, and de-escalation playbooks. If carrying a firearm is allowed, ensure permits, training, and strict policy compliance.

Reliable, well-documented equipment choices reduce liability, speed recoveries, and help meet lender audit standards.

Getting hired vs. starting your own agency

Getting hired as a driver

Most people start by joining an established repossession company, which brings training, equipment, and client access. Here’s how to stand out to employers.

Present a clean MVR and background; note any towing or CDL experience.

Complete CARS and basic towing safety training before applying to show initiative.

Demonstrate tech fluency with mobile apps, GPS, and documentation workflows.

Highlight customer-service and de-escalation skills; prior security or field service experience helps.

Be open to nights/weekends and on-call rotations; reliability matters.

Starting as an employee lets you learn field craft and compliance without bearing the full costs and risks of ownership.

Starting your own repossession agency

Launching an agency requires capital, licensing, and lender-ready compliance systems. Proceed only after researching your state’s specific licensure and storage rules.

Licensing and entity setup: Form a legal entity, obtain any state repossession or tow licenses, manager/qualified agent credentials, and local business permits.

Insurance and bonding: Carry commercial auto, on-hook, garagekeepers, general liability, and wrongful repossession coverage at client-required limits.

Compliance program: Written SOPs, training records (CARS, towing safety), incident reporting, property handling procedures, privacy/data security, and audit readiness.

Client acquisition: Apply to lender networks and forwarders (e.g., RDN-connected), pass vendor vetting, and meet yard and equipment standards.

Staffing and training: Hire drivers with clean records, standardize de-escalation practices, and run ongoing performance and safety reviews.

Owners succeed by pairing operational discipline with lender-facing professionalism and transparent, timely reporting.

Safety, de-escalation, and professionalism

Situational judgment is as important as driving skill. The following practices help keep encounters safe and compliant.

Plan the recovery: Know the address, vehicle description, and alternate routes. Work in teams for higher-risk assignments.

Set the scene: Position your truck for a quick, safe hookup; use lighting without creating a hazard.

Communicate calmly: If approached, keep your voice low, avoid arguments, and disengage if tension rises.

Document everything: Time-stamped photos before/after hookup, property inventory, and condition reports.

Know when to stop: Any confrontation, locked garage, or demand to leave can require aborting to avoid breach of peace.

Practicing these habits reduces injuries, complaints, and claim exposure—and protects future work with major lenders.

Costs, pay, and outlook in 2025

Economics vary by market, experience, and whether you’re an employee or owner-operator. Here are the typical dynamics you’ll encounter.

Pay models: Hourly plus commission per recovery is common; some roles are salary with performance bonuses. Night and weekend shifts often pay more.

Owner costs: Truck payments or leases, fuel, maintenance, insurance, yard security, compliance audits, and technology subscriptions.

Work patterns: Irregular hours with peaks at night; surge activity can follow upticks in auto delinquencies.

Risk management: Wrongful repossession claims, accidents, and property disputes can be costly—robust training and documentation help mitigate.

Overall demand has been steady to elevated alongside higher delinquencies, but lenders are strict about vendor compliance—making training and clean records key to staying competitive.

Frequently asked practical questions

Do I need a CDL? Not always. It depends on vehicle weight ratings and combinations in your state. Many light-duty wheel-lift trucks don’t require a CDL; heavier or certain combined weights may.

Is a repossession-specific license required? In some states, yes (for example, California agencies via BSIS; Florida Class E recovery agents). In other states, tow-operator permits and general business licensing may cover much of the requirement, but repossessions still must follow UCC and state law.

Can I carry a firearm? Only if legal and permitted by your employer and state, with proper training and policy. Even then, never use force in a way that could create a breach of the peace.

What if the borrower offers to pay? Do not negotiate or collect unless your client authorizes it and it complies with debt-collection laws. Typically, refer the borrower to the lender and document the encounter.

Summary

Becoming a repo tow truck driver means combining towing skill with legal literacy and calm, professional conduct. Get state-required credentials, complete industry training like CARS and towing safety, join a licensed agency or build a compliant operation, equip your truck properly, and follow strict “no breach of the peace” rules alongside SCRA, bankruptcy, and personal property procedures. With solid documentation, de-escalation, and safety habits, you can build a sustainable career in a demanding but essential niche of the towing industry.