Archive for the ‘Loans’ Category

3 cheapest ways to pay your property taxes

Published by Research Editor on September 13th, 2015 - in Loans

1. Pay the taxes on time

Obviously, paying property taxes on time will cost the least–you’ll be charged for nothing but your property taxes. However, if that is not an option, there are two others that may work for you.

2. Payment plan with taxing unit

The Office of Consumer Credit Commissioner created a report that examined four ways to pay overdue property taxes. The cheapest way to pay overdue tax bills is by creating a payment plan with your taxing unit.

3. Property tax loan

However, many people do not qualify for a payment plan, which requires:

  • property is your residence
  • you had no installment agreements in the past 2 years

If you are overdue on property taxes for commercial property, rental property, or any other property you don’t live in, a payment plan isn’t an option.

However, the Office of Consumer Credit Commissioner found that the next cheapest option is to get a property tax loan. It costs less than putting the money on a credit card and is far, far cheaper than remaining delinquent.

Why do Texans Need Property Tax Loans?

Published by Research Editor on June 13th, 2015 - in Loans

Property tax lending is a growing, maturing industry that makes thousands of property tax loans each year. Why are so many people looking for property tax loans?

Property Tax Burden

As 14th highest state in property taxes, Texas’ property taxes are 19.6% above average. In a report for the Texas Public Policy Foundation, Kathleen Hunker suggests, “Texas has imposed a mounting property tax burden that has outpaced its citizens’ growth in personal wealth.”

High Percent of Income

Based on data in the American Community Survey by the US Census Bureau, Hunker states that Texans paid a whopping 4.8% of their household income to pay their property taxes.

Tax Rates Climb Faster

Not only is 4.8% a large percent of household income, but the property tax rates climb faster than income does. Property tax rates have risen an average of 6.3% since 1991, compared to 2.7% of income increase.

Loan Solution

As Texans struggle to keep up with the increased demands, many turn to property tax loans as a way to avoid hefty costs of defaulting on their taxes.

Are Property Tax Lenders Financial Vampires?

Published by Research Editor on March 13th, 2015 - in Loans

Are property tax lenders (PTL) out to suck the last money from cash-strapped citizens? Are they trying to scam people and steal their houses? Or are they misunderstood?

Like vampires, werewolves, or other mythical creatures, property tax lenders are often accused of vile acts: stealing your property, attacking you with vicious fees, throttling you in the night by high interest rates, and using force. Let’s look at each of these to separate fact from fiction.

Stealing property?

Is a property tax lender secretly trying to get you to commit to a loan you can’t pay, so they can foreclose on (“steal”) your property and make money off it?

In fact, it is so unprofitable that the PTL is unlikely to foreclose at all. In 2013, out of 40,636 loans receivable by PTLs, only 103 properties were foreclosed on.

Attacking by fees and costs?

If PTLs were vampires, trying to suck all they could out of a dying victim, common sense would expect fees and costs to rise every year as PTLs tried to take more and more.

However, the reality is far different: closing costs dropped 44% from 2008 to 2014. And because of recent legislation, 12% of fees are no longer available for PTLs to charge. It is cheaper today to get a property tax loan than it was a few years ago.

Throttling with interest rates?

Well, that may be all well and good, but surely they’ve hiked up the interest rate to compensate for lower fees and closing costs, right? That’s what a vampire would do.

Put away your garlic and wooden stakes: interest rates have gone down. Recent data shows residential and commercial interest rates at 14.28%, compared to 15.46% in 2008.

That’s not all. The maximum allowed interest rate is 18%. If a PTL were sucking its victims dry, it would be charging the most it possibly could. But it’s not.

Using force?

While a vampire may try to break into your house, nobody forces a PTL on consumers. People choose property tax lenders among their many options for paying property tax loans.

In a report for the Texas Public Policy Foundation, Kathleen Hunker suggests that property tax lenders exist because they fill a need in the marketplace, a need that the government cannot fulfill with its payment options.

Misunderstood?

Low foreclosure rates; lowering fees, costs, and interest rates; and voluntary loans suggest that property tax lenders are not blood-sucking vampires, but instead are legitimate businesses seeking to work in ways that are mutually beneficial.

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Texas Property Tax Lienholders Association: encouraging honest lenders

Published by Research Editor on August 5th, 2013 - in Loans

Sometimes it feels like businesses exist to rip you off. Everything’s a scam and nobody speaks honestly anymore.

When it comes to finding a property tax loan lender, unethical behavior is unacceptable. If you’re going to trust your money to a lender, they must have integrity.

One way to encourage ethical business practices is to only work with those who have pledged to be honest. The Texas Property Tax Lienholders Association (TPTLA) requires its members to promise to conduct business honestly, honorably, and with integrity.

They also promise to keep non-public information confidential, respect your rights, and treat you fairly.

The TPTLA is a great place to look for a property tax loan lender. There are lots of predatory lenders out there; the TPTLA sort of acts as a regulatory body amongst the honest lenders.

(UPDATE: As of 8/5 the TPTLA site is down for updates, but we anticipate it coming back up soon)

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Why are there so many Property Tax Lenders?

Published by Tech Team on June 24th, 2013 - in Loans, Taxes

Over the past decade we’ve seen an explosion of new property tax lenders.  If you are delinquent on your property taxes, you have probably already received a dozen offers from tax lenders.

What is known about Property Tax Lenders

The CPPP published an article back in 2007 about property tax lending. The article explains how tax lenders operate and that there are alternatives.

Summary

In general, a tax loan in Texas is a super superior lien. This means that even if you have a mortgage on your house, the tax lender can foreclose and your mortgage lender has to either pay off the tax lien to retain the property or forfeit their lien on the property.

With all the financial stress in the country right now, many small groups of investors have moved to tax lending as a secure and very low risk way to invest their money.

Need a Property Tax Loan?

If you’ve tried the options that local counties provide and still find yourself needing a loan, our team at Texas Property Tax Loans is very knowledgeable and can help you get a loan for your specific needs.

See how easily you can get financial relief

Published by Research Editor on June 17th, 2013 - in Loans

73% of Americans say that money is the top factor that affects their stress level. The stress and pain that comes with financial burdens can be overwhelming and debilitating.

 

Taking control over your financial situation will give you relief and help you move forward. One of the easiest ways to get financial relief is through a property tax loan, which lets you:

  • Stay in your house
  • Pay off the loan on your terms, not the government’s terms
  • Stop worrying about huge penalties for late property tax payments
  • Avoid serious lawsuits
  • Prevent foreclosure

8 things to look for in a property tax lender

Published by Research Editor on June 10th, 2013 - in Loans, Taxes

There are many property tax loan lenders in Texas. How do you pick the one that’s right for you? Here are 8 things to look for:

1. Quick turnaround

Usually when you need a loan, you need one as quickly as possible–the sooner you get the loan, the less interest and fees get piled up. Find a lender that promises a quick approval process.

2. No Upfront Costs and Fees

One of the benefits of a property tax loan is avoiding fees. Don’t accept a lender who will saddle you with more fees than the government would.

3. Convenient Closing

Do you have to travel across the state to sign closing papers? Or will the lender come to your home or office?

4. Online Account Information

Can you access your account information online? Is it convenient? And secure?

5. No Prepayment Penalties

If you choose to pay off your loan early, will your lender penalize you with extra fees?

6. Protecting You from Third Parties

Will your lender sell or give your private information to third parties?

7. How Foreclosure Is Handled

Foreclosure is a difficult prospect. After all, one of the reasons you want a proprety tax loan is to avoid foreclosure, isn’t it?

The problem is, if a lender promises they never foreclose, there’s a problem: if you become delinquent, the lender who never forecloses is going to sell your loan to someone else, who will foreclose on you, instead of helping you.

8. Outsourcing

Most loans you get will never be touched again by your lender. If they don’t immediately sell the loan, many hire another company to service the loans. And whoever services the loan is the company you’ll spend the most time dealing with.

So if the lender’s bedside manner or courtesy is important to you, make sure they’re not going to outsource their servicing.

 

We think we can provide you with the best property tax loan experience, but whether you choose us or someone else for your needs, choose wisely.

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How a tax lien transfer works

Published by Research Editor on March 22nd, 2013 - in Loans, Taxes, The Basics

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Every year, a tax lien is placed on your property by the government. When you get a property tax loan, you transfer your tax lien to your lending company. Here’s how it works:

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This graphic comes to you courtesy of Protect My Texas Property, an alliance working hard so you can keep your right to get a property tax loan if you choose.

Texas Needs You.

Published by Research Editor on March 19th, 2013 - in Loans

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Texas needs you.

As a property owner, you know first-hand that home and business owners sometimes need a little extra help or a little extra time to pay their property taxes. When that happens, Tax Lien Transfers are a flexible, affordable option.

But all of that may change, unless you help right now.

Powerful collection law firms and certain banks are trying to pass legislation in Texas that would kill the Tax Lien Transfer business and take away this affordable option for you.

This is bad news for the 15,000 Texans helped by Tax Lien Transfers each year. And it’s bad news for our communities, which rely on property tax payments to provide essential services such as schools, hospitals and first responders.

Join our coalition to help Texans fight for property rights!

A group of concerned business owners, property owners and Tax Lien Transfer employees across the state have joined together to protect our rights and our property – and we need your support.

Visit www.protectmytexasproperty.org and sign up for the coalition. It takes just 30 seconds. We’ll list you as a member on the website and notify you of ways you can engage with your elected officials, if you want. The only way to fight these powerful special interests is to ban together to stop them from destroying an industry that helps people stay in their homes, keep their land and stay in business.

Thank you for helping.

Sincerely,
FYP, LLC

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3 secrets the property tax lending industry doesn’t want you to know

Published by Research Editor on January 29th, 2013 - in Loans

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Credit checks

Property tax lenders usually don’t submit you to credit checks. This isn’t a sales gimmick. It’s because your loan is 100% equity secured. So if you stop paying off the loan, you can lose your house. Credit is irrelevant when your home is on the line.

Foreclosure

“We never foreclose!” If you hear that from a property tax lender, run fast.

Generally, when lenders claim they never foreclose, it’s because they sell your loan instead. And then someone else will foreclose on your home.

This also means that, if you become delinquent, that lender is more likely to sell your loan than try to help you through your difficult times.

Instead, look for a lender who is willing to work with you if times get tough.

Outsourcing

Most loans you get will never be touched again by the company who gave you the loan. If they don’t immediately sell the loan, they, at least, hire another company to service the loans. And whoever services the loan is the company you’ll spend the most time dealing with.

So if the lender’s bedside manner or courtesy is important to you, make sure they’re not going to outsource their servicing.

Are you looking for a property tax loan? Texas Property Tax Loans services their own loans and works with their customers–especially during hard times.

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© 2013 FYP, LLC.