{"data":{"id":"us-ky/krs-134.490","jurisdiction":"us-ky","citation":"KRS 134.490","heading":"Actions by owner of certificate of delinquency to collect or foreclose","body":"certificate -- Notice by third -party purchaser to taxpayer -- Installment\npayment plans.\n(1) (a) Within fifty (50) days after the delivery of a certificate of delinque ncy by the\nclerk to a third-party purchaser, the third-party purchaser shall send a notice to\nthe delinquent taxpayer informing the delinquent taxpayer that the certificate\nof delinquency has been purchased by the third-party purchaser.\n(b) The third -party purchaser shall send this notice once every six (6) months\nuntil the notice required by subsection (2) of this section is sent.\n(c) The notices included in this subsection shall be sent by certified mail with\nproof of mailing and include the information r equired by subsection (3)(d) of\nthis section. A copy of each notice shall be sent to each mortgagee who holds\na mortgage on the property that is the subject of the certificate of delinquency.\n(2) Anytime after the expiration of the one (1) year tolling per iod established by KRS\n134.546, the third-party purchaser may institute an action to collect the amount due\non a certificate of delinquency. At least forty -five (45) days before instituting a\nlegal action, the third-party purchaser shall send a notice to t he taxpayer and a copy\nof the notice to each mortgagee who holds a mortgage on the property by certified\nmail with proof of mailing. The notice shall:\n(a) Inform the taxpayer that enforcement action will be taken;\n(b) Include a statement advising the taxpa yer that substantial additional\nadministrative costs and fees associated with collection in addition to the\namount due on the certificate of delinquency may be imposed and that\ncollection actions may include foreclosure; and\n(c) Include the information required by subsection (3) of this section.\nThe notice shall be in addition to any notice sent under subsection (1) of this\nsection.\n(3) (a) 1. For certificates of delinquency for all property except property described\nin paragraph (b) of this subsection, third -party purchasers or their\ndesignees shall obtain from the office of the property valuation\nadministrator of the county in which the real p roperty is located the\nmost recent address for the property owner.\n2. To obtain information from the office of the property valuation\nadministrator, the third -party purchaser shall, at the option of the\nproperty valuation administrator, either:\na. Obtain information from an up-to-date public access list or website\noffered by the property valuation administrator; or\nb. Submit a list of addresses, map identification numbers, or parcel\nnumbers for which updated information is requested to the\nproperty valuatio n administrator, who shall update his or her\nrecords with regard to the properties for which information is\nrequested and provide the updated information to the third -party\npurchaser within ten (10) days.\n3. For this service, the property valuation adminis trator may charge a fee\nnot to exceed two dollars ($2) for each address provided or obtained.\n4. Except as provided in paragraph (b) of this subsection, the third -party\npurchaser shall send the notices required by subsections (1) and (2) of\nthis section to  the address provided by the property valuation\nadministrator. Unless the provisions of subparagraph 7. of this\nparagraph apply, the third-party purchaser shall not be required to send a\nnotice to any party other than the owner of record as provided by the\nproperty valuation administrator at the time the notice is sent and the\nmortgagee as required by subsections (1) and (2) of this section.\n5. If, due to insufficient staffing, the property valuation administrator is\nunable to provide the requested informat ion to the third -party purchaser\nwithin ten (10) days of submission, the property valuation administrator\nshall immediately notify the third -party purchaser, and the third -party\npurchaser may send the notices required by subsections (1) and (2) of\nthis section to the address reflected in the public records of the property\nvaluation administrator.\n6. Any notices sent pursuant to information obtained under this paragraph\nthat are returned as undeliverable shall be re -sent by certified mail with\nproof of maili ng addressed to the \"Occupant\" at the address of the\nproperty that is the subject of the certificate of delinquency. These\nnotices shall be sent within twenty (20) days of receipt of the returned\nnotice.\n7. If a third -party purchaser becomes aware of a mor e recent or more\naccurate address for a delinquent taxpayer that is different from the\naddress reflected in the records of the property valuation administrator,\nthe third-party purchaser shall send notices to the updated address in the\nmanner required by t his subsection, and shall notify the property\nvaluation administrator of the updated address.\n8. If a third -party purchaser receives an address from the property\nvaluation administrator during an address check after a first notice is\nsent and returned as u ndeliverable, and the address is the same as was\noriginally provided, the third -party purchaser shall send the notice\naddressed to \"Occupant\" at the address of the property that is the subject\nof the certificate of delinquency in the manner required by thi s\nsubsection.\n(b) 1. For certificates of delinquency relating to unmined coal, oil or gas\nreserves, or any other mineral or energy resources assessed separately\nfrom the surface real property pursuant to KRS 132.820, third -party\npurchasers or their designe es shall obtain from the department the most\nrecent address for the property owner.\n2. To obtain information about a particular property, the third -party\npurchaser shall submit to the department a list of addresses, map\nidentification numbers, parcel numbe rs, and any other information the\ndepartment may require. The department shall:\na. Update its records with regard to the properties for which\ninformation is requested; and\nb. Provide the updated information to the third -party purchaser\nwithin ten (10) business days.\n3. For this service, the department may charge a fee not to exceed two\ndollars ($2) for each address provided.\n4. The third-party purchaser shall send the notices required by subsections\n(1) and (2) of this section relating to unmined coal, oil or gas reserves,\nor any other mineral or energy resources assessed separately from the\nsurface real property pursuant to KRS 132.820 to the address provided\nby the department. Unless the provisions of subparagraph 5.f. of this\nparagraph apply, the third-party purchaser shall not be required to send a\nnotice to any party other than the owner of record as provided by the\ndepartment at the time the notice is sent and the mortgagee as required\nby subsections (1) and (2) of this section.\n5. a. Any notice sent pu rsuant to subsections (1) and (2) of this section\nbased on information obtained pursuant to this paragraph and\nreturned as undeliverable shall be submitted to the department\nwithin ten (10) days of receipt of the returned notice.\nb. The department shall at tempt to obtain an updated address for the\nowner of the property subject to the certificate of delinquency\nfrom the individual or entity filing the property tax return for the\nproperty.\nc. The individual or entity filing the property tax return shall provi de\nan address of the property owner upon request of the department.\nd. The department shall provide any updated address information to\nthe third-party purchaser.\ne. If updated information is provided, the notices shall be re -sent by\ncertified mail with pro of of mailing to the updated address of the\nowner within ten (10) days of the receipt of the updated\ninformation from the department.\nf. If a third-party purchaser becomes aware of a more recent or more\naccurate address for a delinquent taxpayer that is different from the\naddress reflected in the records of the department, the third -party\npurchaser shall send notices to the updated address in the manner\nrequired by this subsection, and shall notify the department of the\nupdated address.\n(c) The third-party purchaser shall maintain complete and accurate records of all\nnotices sent pursuant to this section.\n(d) The notices required by this section shall include the following information:\n1. A statement that the certificate of delinquency is a lien of record against\nthe property for which delinquent taxes are owed;\n2. A statement that the certificate bears interest at the rate provided in KRS\n134.125;\n3. A statement that if the certificate is not paid, it will be subject to\ncollection as provided by law, and that collection actions may include\nforeclosure. The notice required by subsection (2) of this section shall\nalso include a statement of the intent to institute legal action to collect\nthe amount due;\n4. A complete listing of the amount due, as of the date of the notice,\nbroken down as follows:\na. The purchase price of the certificate of delinquency;\nb. Interest accrued subsequent to the purchase of the certificate of\ndelinquency; and\nc. Fees imposed by the third-party purchaser;\n5. If the third-party purchaser is required to register with the department as\nprovided in KRS 134.128(3), for certificates of delinque ncy purchased\nafter June 1, 2012, a statement informing the taxpayer that upon written\nrequest and the payment of a processing fee, the third -party purchaser\nwill offer a payment plan; and\n6. Information, in a format and with content as determined by the\ndepartment, detailing the provisions of the law relating to third -party\npurchaser fees and charges.\n(e) In addition, the notice shall provide the following information to the taxpayer:\n1. The legal name of the third-party purchaser;\n2. The third-party purchaser's physical address;\n3. The third -party purchaser's mailing address for payments, if different\nfrom the physical address; and\n4. The third-party purchaser's telephone number.\nIf the information required by this paragraph changes, the third -party\npurchaser shall, within thirty (30) days of the change becoming effective, send\na notice to each taxpayer by certified mail with proof of mailing with the\ncorrected information. The third -party purchaser shall also update contact\ninformation included in the records of the county clerk within ten (10) days of\nthe change becoming effective. Failure to send the original notice or any\ncorrection notices shall result in the suspension of the accrual of all interest\nand any fees incurred by the third -party purchaser a fter that date until proper\nnotice is given as required by this subsection.\n(4) If a person entitled to pay a certificate of delinquency to a third -party purchaser\nmakes payment on the certificate of delinquency to the county clerk under the\nconditions described in KRS 134.127(3)(d), the payment shall constitute payment in\nfull, and no other amounts may be collected by the third -party purchaser from the\nperson.\n(5) (a) For certificates of delinquency purchased after June 1, 2012, at the written\nrequest of a  delinquent taxpayer, a third -party purchaser required to register\nwith the department as provided in KRS 134.128(3) shall provide a monthly\ninstallment payment plan to a taxpayer.\n(b) The taxpayer and third -party purchaser shall sign an agreement detailin g the\nterms of the installment payment plan.\n(c) The third-party purchaser may impose a processing fee, not to exceed eight\ndollars ($8) per month to offset the administrative cost of providing the\npayment plan. No other fees, charges, interest, or other a mounts not expressly\nauthorized by this chapter shall be charged, assessed, or collected by the third-\nparty purchaser.\n(d) The existence of an agreement to provide a payment plan shall not impact the\nright of the third -party purchaser to pursue legal actio n if the delinquent\ntaxpayer fails to follow the terms of the installment payment agreement.\n(e) Upon default of a delinquent taxpayer:\n1. The third-party purchaser shall retain all amounts paid, which shall be\napplied to the outstanding balance due; and\n2. The third -party purchaser shall not be required to offer the delinquent\ntaxpayer another opportunity for an installment payment plan.\n(f) If a third-party purchaser who was required to offer payment plans pursuant to\nparagraph (a) of this subsection, sub sequently does not purchase a sufficient\nnumber of certificates of delinquency to require registration with the\ndepartment, the third -party purchaser shall continue to offer payment plans\nunder the conditions established by this subsection for all delinque nt\ntaxpayers whose certificates of delinquency were purchased during a period in\nwhich the third-party purchaser was required to register with the department.\n(g) A third-party purchaser who is not required to register with the department as\nprovided in KRS 134.128(3), or who holds certificates of delinquency\npurchased prior to June 1, 2012, may voluntarily offer installment payment\nplans to delinquent taxpayers in accordance with the provisions of this\nsubsection.\n(h) The department may establish additional terms and conditions for installment\npayment plans in an administrative regulation.\n(6) Any person to whom a third -party purchaser transfers or assigns a certifi cate of\ndelinquency shall be considered a third-party purchaser under this chapter.","path":["KRS Chapter 134"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57927","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:26Z","sha256":"2d1914b6ac643719f31a1737c6f41b29e8aa5fd616dcbf82c7bf8947975a283e","source_id":"us-ky","stale":false,"prev":"us-ky/krs-134.485","next":"us-ky/krs-134.495"},"notice":"GroundRules: Original legal text. Not legal advice."}