35 states let impound lots demand cash-only payment, trapping people without ATM access

Many impound lots refuse credit cards, debit cards, and checks, requiring cash-only payment for vehicle release — often $300-$600 — at facilities located in industrial areas far from ATMs. A person whose car was towed at 2am may not have $400 cash on hand, cannot withdraw that amount from an ATM with daily limits, and each day they cannot pay adds another $50-$85 in storage. The cash-only requirement persists because only a handful of states like Texas, Arizona, and Illinois mandate that tow companies accept electronic payment, cash avoids chargebacks that could challenge fraudulent fees, and there is no federal payment-method requirement for nonconsensual towing.