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Escrow Taxes

Dear Kit Carson County Tax Lien Investor,

On May 13, 2024, Governor Polis signed House Bill 24-1056 into law. This act is the legislature’s response to the unanimous Supreme Court decision in Tyler v. Hennepin County making our Treasurer’s Deed process unconstitutional.  While it’s important to note that the legislation did not change the tax lien process and the interest earned if/when redeemed, the changes to the deed process are substantial.

Going forward, deeds will not be automatically issued to the lien holder, instead the option for Treasurer’s Deed will be sold at live public auction to the highest bidder. 

Now the process to obtain a Treasurer’s Deed will become very similar to the process we use in foreclosures.  As a tax lien holder, you will decide when you want the property you hold a lien for goes to sale; anytime between 3 and 15 years after the lien was purchased. Essentially the process will look like this:

  • Tax lien Certificate is purchased at tax lien sale, just like in the past.  (This year is scheduled for November 4th)

  • Property/Mineral owner retains the right to redeem up until the property/mineral sale.

  • Lien holder retains the right to endorse future taxes for up to 15 years. 

  • Between 3 and 15 years after the lien is purchased, the lien holder can request that the property is sold at auction.

    • Our office will require a deposit of $800 for property/minerals assessed below $500 and $1200 for property/minerals assessed above $500 to cover expenses to bring property/mineral for sale.

      • Every county sets their own deposit amount.  These will vary widely throughout the state.  Ultimately all our expenses must be paid prior to a sale proceeding, a deed being issued, or funds being disbursed from a sale.

    • Initial bid or floor for the sale will be the amount to redeem the certificate plus the fees and expenses of our office.

  • There will be an auction for the property

  • The lien holder can choose to redeem the property and receive the Treasurer’s Deed to the property, or

  • The lien holder will be paid the amount to redeem the lien plus the fees and expenses of our office

  • Any overbid funds from the auction will go to the property owner, thus making our process Constitutional.

This Treasurer’s Deed process is significantly different than in the past, if you have questions, feel free to contact our office at 719-346-8434

 

Escrow Taxes-Frequently Asked Questions

 

What is Escrow Taxes?

Escrow Taxes simplifies how you pay property taxes by breaking your bill into easy, affordable monthly payments. Each month, the system automatically charges your credit card or bank account and ensures your full tax payment is sent to the Tax Office before the due date.

Benefits of Using Escrow Taxes

Escrow Taxes helps eliminate the stress of large, one-time payments by offering predictable monthly plans with minimal fees. It also supports local governments by reducing late payments and improving collection rates.  Powered by EscrowClowd from Autoagent, Escrow Taxes automatically adjusts your monthly payment as needed, ensuring accurate and timely tax payment with fewer errors.

How Are My Monthly Payments Calculated?

Your monthly payment is based on the total amount due on your tax bill, divided by the number of months remaining until your due date.  The earlier you enroll, the lower your monthly payments.  If your bill is later updated, Escrow Taxes will automatically recalculate your remaining payments and notify you via email. 

If changes occur after your balance is paid or you’re on a one-time plan, we’ll issue a refund for any overpayment or charge the difference-with prior notice.

Is There a Fee to Use Escrow Taxes?

Yes, a small processing fee applies to each payment:

  • Bank account (ACH/e-check): $1.00 per transaction

  • Credit/debit card: 2.5% of the transaction amount, with a $2.00 minimum

All fees are displayed before you complete your payment.

Is Escrow Taxes Legitimate?

Absolutely.  Escrow Taxes is a secure service provided by Autoagent, a U.S. based company trusted by local governments for over 20 years.  If your Tax Office is listed on the platform, it means they have officially partnered with us.

Escrow Taxes uses a PCI DSS Level 1 certified platform the highest standard in payment security-and is backed by award-winning customer support.

What Taxes Can I Pay with Escrow Taxes?

You can use Escrow Taxes to pay property taxes, including both real estate, commercial and personal property taxes.

 

What If My Tax Bill is Adjusted?

If your bill changes after enrollment, Escrow Taxes automatically updates your remaining payments to match the new balance.  You’ll be notified by email with the revised payment schedule.

  • If your balance is already paid, we’ll refund any overpayment-again, with advance notice.
  • If you’re aware of an adjustment before we are, contact our support team for faster processing.

Can I Change My Payment Schedule?

Currently Escrow Taxes only supports monthly payments.  These are processed on the 15th of each month, with final payments made at least 10 days before your tax due date to ensure on-time delivery.

Are There Any Restrictions?

Yes.  Escrow Taxes is available for property tax bills of $100 or more issued by Tax Offices enrolled in the program.  To qualify, your bill must also be current (not delinquent).

When Do Payments Start and End?

Your first payment is processed immediately upon enrollment. After that, payments continue monthly on the 15th until your tax bill is fully paid.  Enrollment closes 10 days before the due date to allow enough time for all payment to be processed.

What Will Appear on My Bank Statement?

Most statements will list the charges as something like:

“Escrow Taxes-The Kit Carson County Treasurer”

This makes it easy to identify your payments.

What Notifications Will I Receive?

You’ll get alerts for:

  • Changes to your enrollment
  • Updates to your monthly balance
  • Upcoming scheduled payments
  • Payment confirmations
  • Failed payment alerts

What Hppens If a Payment Fails?

If a payment fails, we’ll notify you with instructions to resolve the issue. We’ll attempt to process the payment again, but repeated failures may result in your account being canceled.

How Do I Cancel My Escrow Taxes Enrolllment?

You can cancel your enrollment any time before your payment is submitted to the Tax Office. Cancellation can also occur automatically due to repeated payment failures or extended inactivity.

To cancel, log in to your Escrow Taxes account. Any remaining escrow balance will be refunded to your original payment method within 7 business days.  Please note that processing fees already charged are non-refundable.