Peeltown was a rural community located off Farm Road 3094 about thirteen miles southwest of Kaufman and about one mile east of the Trinity River in southwestern Kaufman County. The Peel family arrived from Mississippi and settled in the area in the 1860s. Peeltown was named for landowner Monroe Peel. A local graveyard, the Peel Family Cemetery, was established, and the oldest marked grave is that of J. T. Peel who died in 1876. A large gin was constructed in the community in 1910. By the 1930s the village had a church, school, the gin, and numerous homes and farms. By the second half of the twentieth century the school was closed. No population figures were available. In 2000 the gin was still standing but the cemetery was abandoned.