Paying Your Property Taxes in Texas: What Are Your Options
Paying property taxes in Texas does have its challenges, and there are several solutions if you cannot pay all the due taxes before January 31st. When your property tax is above $3,500, consider getting a property tax loan. Let’s look at the county payment options that might be available.
Payment Plan Options from the County
County Payment Plans offer several options, but they are quite restrictive. Terms are between 12 and 36 months, there is an annual 12% statutory interest, and in most cases the property must be your homestead. If you miss any payments on a county plan, statutory penalties, and collection costs may be applied retroactively.
Credit Card Payment for Property Taxes: Pros and Cons
Using a credit card to pay your property taxes offers convenience and potential rewards, but it’s important to weigh the pros and cons. One advantage is the ability to pay taxes even if immediate funds are unavailable, which can be especially useful during tight financial periods. Some credit cards also offer rewards, such as points or cashback, when you pay your property taxes online.
However, using a credit card may involve additional fees, which county tax offices often charge as a convenience fee. This can increase your overall tax bill. Moreover, if the balance isn’t paid off quickly, high-interest charges may accrue, potentially negating any rewards benefits. Ensure the payment process is secure and that you receive a confirmation number to verify your payment.
If you choose to pay with a credit card, include your tax account number to ensure the payment is correctly applied. Always check with your local tax office or financial institution to understand the payment terms, as taxes may be paid directly to them or through an authorized service provider.
Can You Pay Your Property Taxes in Installments?
Property taxes can be paid in four equal installments under specific circumstances. A written notice of intent must be given with the first payment, or the property taxes become delinquent, incurring penalties and interest.
-
Over-65/ Disabled/ Disabled Veteran Installment Plans Individuals aged 65 years or older, persons with disabilities, disabled veterans, or their unmarried surviving spouses who qualify for an exemption under Tax Code Section 11.22 can pay in installments. Also, partially disabled veterans with homes donated by charitable organizations and their unmarried surviving spouses.
-
Installment Plans for Properties in Disaster or Emergency Areas Property tax installment payments following a disaster or emergency may be available. Certain businesses, homeowners, other residential property owners, and certain small businesses with property damaged due to a disaster or emergency can apply for this option.
Low-income homeowners in Texas often face significant challenges when managing property taxes, but there are resources available to ease this burden. If you’re struggling to keep up with payments, property tax help for low-income homeowners in Texas can provide vital assistance. Programs such as deferrals, exemptions, and property tax loans are designed to help reduce financial strain, ensuring that Texans can maintain homeownership without the risk of foreclosure.
What Other Payment Arrangements Can Be Made Through the County
Numerous other payment arrangements can be made through the county besides those discussed above. What are the payment options?
- Partial Payments Partial payments are allowed by several local governments, including Travis County. Making the partial payment does not affect the date the tax becomes delinquent; the remaining portion still incurs penalties and interest.
-Deferral Deferred or delayed property tax payments have an annual interest of 5%, while penalties and interest do not accrue as long as the property is deferred. The following persons can apply to defer payment on their residence homestead.
- persons aged 65 or older or disabled
- persons who qualify for a disabled veterans exemption under Tax Code Section 11.22.
-Split Payments In some counties, you can split your property tax payments by paying one half by November 30 and the other half by June 30 without incurring penalty and interest, if allowed by the taxing unit’s governing body.
-Partial Payments/ Informal Payment Arrangements Can you pay property taxes monthly? Counties often have payment arrangements other than the standard ones, as is the case with Bexar County. They have a ten-month payment plan where equal payments are due beginning in October and ending in July.
- Work Contracts Rarely used, work contracts allow persons 65 or older to perform a service for the taxing unit, or qualified individuals provide teaching services instead of paying property taxes.
Can You Pay Delinquent Property Taxes in Installments?
Some property tax collectors will allow you to pay delinquent property taxes in installments on a residence homestead. The terms are strict, and if you fail to make the payments, you may not enter into another agreement for two years.
If you’re struggling to keep up with your property tax payments, especially as you approach retirement, it’s important to explore all the available options. For those wondering at what age do you stop paying property taxes in Texas, there are specific tax relief programs designed for seniors. While property taxes aren’t completely eliminated, qualifying individuals aged 65 and older can benefit from exemptions that help reduce the financial burden. Understanding how these programs work can provide much-needed relief and help you manage your property tax obligations more effectively.
Do You Get A Discount for Paying Your Property Taxes Early?
If allowed by a taxing unit, discounts are available for early payments, called a 3-2-1 discount. For example, if your tax is paid in October or earlier, you get a 3% discount, a 2% discount if the tax is paid in November, and a 1% discount if it is paid in December.
Exploring Tarrant County Property Tax Payment Solutions
Tarrant County offers a variety of payment solutions to accommodate taxpayers’ needs. The Tarrant County Tax Office allows you to make an online payment, which can be a convenient way to handle your taxes without visiting in person. Payments can be made with United States currency through electronic transfer, allowing flexibility for those who prefer online transactions.
The Tarrant County tax office also accepts various methods for in-person payments at multiple locations. Be sure to bring your tax account number and property tax bills for accurate processing when paying in person. Additionally, Tarrant County offers installment plans to ease the burden on taxpayers who cannot pay their taxes in full at once. Check if you qualify under Texas Property Tax Code Section 31.06 for these plans.
The Tarrant County Appraisal District ensures that assessments are accurate, which helps you pay only what is due. Understanding the options available through your local tax office can help you manage your property taxes efficiently and avoid unnecessary penalties or interest.
Comparing County Property Tax Payment Options: Which is Best for You?
When considering how to pay your county property taxes, evaluating the available options is essential. Each method has unique benefits and potential drawbacks, and choosing the right one can help you manage your finances effectively.
Paying property taxes online is a convenient option provided by most county tax offices. This method offers the advantage of an immediate tax receipt and confirmation number, ensuring your payment is processed promptly. You can pay using a credit card or through an electronic funds transfer from your financial institution. Be sure to include your tax account number to avoid delays.
Alternatively, paying in person at your county tax office allows you to verify details directly and receive a physical tax receipt. This method might appeal to those who prefer face-to-face transactions. For those needing more time, installment plans offered by counties such as Dallas County and Harris County can be beneficial. These plans let you spread payments over several months, subject to approval by the tax collector. Check with your local tax office to see if such arrangements are available and whether you qualify.
Each option suits different needs and financial situations. Consider the payment process, convenience, and potential costs when selecting the best method for you.
Is it Better to Get a Property Tax Loan?
Are your balances low, and are you sure you can make the payments? A county agreement is your more cost-effective option. When you need property tax help, consider American Finance & Investment Company, Inc. (AFIC). Our property tax loan payments are, in most cases, very manageable, and you can defer payments for up to 36 months. However, if you are facing the threat of foreclosure or need a more flexible solution, property tax loans can provide immediate relief and prevent further penalties.
Get Help Paying Your Property Taxes
AFIC can provide you with an instant quote by completing the form on our homepage. For qualifying properties, we can help you pay off your delinquent taxes and offer you the following benefits:
- Quick and completely online process
- No money down
- No credit check
- Free 30-day rate match
- Match competitors and beat their rate by 1%
- Avoid high penalties and foreclosure
We pride ourselves on finding solutions to suit the unique needs of our clients. If you would like to discuss our property tax loans, please contact our experienced team at AFIC today.
