Posts Tagged ‘delinquency’

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

Options for Delinquency

Published by Research Editor on June 3rd, 2013 - in Tax Penalties, Taxes

A new law requires property tax lenders to include this line in their ads:

“YOUR TAX OFFICE MAY OFFER DELINQUENT TAX INSTALLMENT PLANS THAT MAY BE LESS COSTLY TO YOU. YOU CAN REQUEST INFORMATION ABOUT THE AVAILABILITY OF THESE PLANS FROM THE TAX OFFICE.”

While the all-caps and bold font may seem a little excessive, it is good to remember that property tax loans are only one option among many for dealing with delinquent property taxes:

Property tax loan

Advantages: your taxes are paid, which means you avoid delinquency status, penalties, lawsuit, and foreclosure. Disadvantage: a property tax loan is a superior loan, meaning the lender can foreclose on your house if you don’t pay back your loan.

Delinquent tax installment plans

Split your payments into four smaller payments. However, this plan is not always available in every county to every citizen.

Split payments

Pay your taxes in two smaller payments instead of one giant payment. Disadvantage: the first half is paid a month early: November 30 Instead of January 1.

Tax deferral

You don’t have to pay your property taxes right now. However, this is limited to senior citizens. Your taxes accrue 8% interest each year–and you do have to pay the taxes eventually.

Borrow money from family or your savings

This could be a great option–or a horrendous option–depending on your situation. Be wise.

Refinance your mortgage to include the taxes

Establish an escrow account

Ignore it

Worst idea ever. You’ll suffer penalties, lawsuit, and foreclosure. Don’t just ignore your delinquent taxes.

 

Whatever option you choose, be wise and make an informed decision.

Avoid These 3 Dire Consequences of Delinquent Property Taxes

Published by Research Editor on July 25th, 2011 - in Tax Penalties, Taxes

With high property taxes and a wobbly economy, delinquency in property taxes–or a high risk of delinquency–is becoming more common. Ignoring the bills won’t make the problem go away; in fact, it only makes it worse. Serious consequences of not paying property taxes include:

1. Enormous penalties

The more you delay, the more you pay. You can pay up to 38% in fees and penalties if your property taxes are delinquent. For $10,000 in taxes, adding on fees and penalties means you could end up paying $13,800. That’s almost $4,000 of unnecessarily wasted money.

2. Lawsuit

Any time after your taxes are delinquent, the Texas Tax Code states that you can be sued by your taxing unit. If the suit is successful, you get to pay all the court fees on top of your property taxes, fees, and penalties.

3. Foreclosure

Not paying property taxes gives the government power to take away your property in foreclosure. According to the Texas Tax Code, “On January 1 of each year, a tax lien attaches to property to secure the payment of all taxes, penalties, and interest ultimately imposed for the year on the property.”

Is all this doom and gloom necessary? Most definitely not! Getting a property tax loan eliminates these consequences–no more wasted money on fees and penalties, no threat of lawsuit from your tax collector, and no worries about foreclosure from your tax unit–and allows you to pay your property taxes in the most convenient way possible.

If your taxes are delinquent–or close to it–consider a property tax loan to avoid these dire consequences.

© 2013 FYP, LLC.