When You Need Property Tax Help
Too often we receive inquiries from potential clients in need of property tax help focused solely on cost while neglecting the most important aspect of selecting a lender... and that is selecting a trusted lender. I actually love to hear the question "why should we use your company for a property tax loan?" because it affords me the opportunity to speak about the relationship... and make no mistake, when you enter into a long-term contract with a property tax lender; you had better trust the relationship.
Risks and Bad Lender Behavior
So, what are some of the risks associated with picking a property tax lender based solely on cost? Some of the behaviors of bad lenders include hidden or non-disclosed fees on the front-end, extremely high late fees and escalated interest rates should a payment be late, and even foreclosure on your property for falling only slightly behind on payments. While it is legitimate to charge late fees and even in the most unfortunate circumstances, foreclose on a property, what sets a trusted property tax lender apart from a bad lender is up-front communication and the willingness to help their clients meet their obligations. Foreclosure should only be used in dire circumstances when a borrower flat refuses to pay their obligation and are unwilling to work with a lender who desires to help them get caught up. Unfortunately, the horror stories of lenders foreclosing quickly without attempting to work with their borrowers are too often true, so take the time to get to know a lender when seeking help with a property tax loan.
How to find a Trusted Property Tax Lender
Finding a trusted lender for your property tax loan needn't be a daunting or even difficult task. To begin with, don't fall for offers that promise something for free. Common sense should tell you nothing is free. Also, take the time to ask pointed questions such as "Does your quote include all fees and costs associated with structuring my property tax loan?", "What kind of fees do you charge for late payments?", and "How do you help clients get caught up who fall behind on payments?" Asking questions such as these should give you a sense of a lender's ethics and whether they follow the spirit of a healthy lender/borrower relationship, which is essential when seeking property tax help.
Perhaps the best method to find a trusted property tax lender is to look to third parties who can validate their business practices. For one, verify the lender is an accredited member of the Better Business Bureau and is in good standing. Second, is the lender a member of the Texas Property Tax Lienholders Association (TPTLA)? This membership organization was formed to set the ethical practices for those who offer property tax help and lenders who are members of this organization tend to focus on sound lending standards. And finally, you can check with the Office of Consumer Credit Commissioner to see if a property tax lender follows sound lending practices. This office is charged with regulating the credit industry in Texas to produce a fair, lawful, and healthy credit environment.
In closing - there is no reason you can't find a fair deal from an ethical property tax lender, so take a little extra time on the front end and make certain you are working with someone you trust who truly wants to help you and not exploit you through a property tax loan.