What Chicago's Payment Plan Lets You Do

Chicago offers payment plans for property taxes and certain municipal bills so you don't have to pay the full amount in one lump sum. The city's Department of Finance administers these plans, and they work differently depending on whether you owe property taxes, water bills, or other city charges. The key point: you contact the city directly, not a third party, and you set up a schedule that fits your cash flow.

Payment plans are not automatic. You have to request one, and the city will review your situation before approving the terms. The plan itself is a written agreement between you and the city that spells out how much you pay each month and when those payments are due.

Key Takeaways

  • You must contact the Chicago Department of Finance directly to set up a payment plan; the city does not send you a plan automatically.
  • Property tax payment plans and water bill payment plans have different rules, income limits, and approval timelines.
  • You will need documentation of your bill, proof of hardship if required, and a valid mailing address or email for the city to send you payment notices.
  • Once approved, you make monthly payments on a schedule the city provides, and missing a payment can result in the plan being cancelled.

Property Tax Payment Plans

If you owe property taxes to the City of Chicago, you can request a payment plan through the Department of Finance's Property Tax Division. You must request the plan before the tax bill becomes delinquent, or in some cases after delinquency if you act quickly. The city will not set up a plan for taxes that are more than a certain number of years in arrears without additional steps.

To request a property tax payment plan, contact the Department of Finance at 311 (in Chicago) or (312) 744-4444 from outside the city. You can also visit the Department of Finance office in person at 121 North LaSalle Street, Chicago, IL 60602. Have your property address and account number ready. The city will tell you the total amount owed and discuss payment options based on your situation.

The length of the plan depends on how much you owe and what the city approves. Plans typically run from a few months to several years. You will receive a written agreement that shows the monthly payment amount, the due date each month, and the total number of payments. Payments are usually due on the 15th of each month, though this can vary.

Water and Sewer Bill Payment Plans

The Chicago Department of Water Management handles payment plans for water and sewer bills separately from property taxes. If your water bill is past due, you can request a plan to avoid service disconnection. The process is similar to property taxes but the rules differ.

Contact the Department of Water Management at 311 (in Chicago) or (312) 744-7114 from outside the city. You can also visit their office at 1000 East Ohio Street, Chicago, IL 60611. Tell them you want to set up a payment plan and provide your account number and service address. The department will calculate what you owe and discuss a payment schedule with you.

Water payment plans are often shorter than property tax plans because the city can disconnect service if you fall behind. A typical water plan might run three to twelve months. The city will send you a written notice showing your monthly payment amount and due date. If you miss a payment, the department may cancel the plan and proceed with disconnection, so staying on schedule is critical.

What Documents You Need to Provide

When you contact the city to request a payment plan, have the following ready: your account number (found on your bill), your property address or service address, and a current phone number and mailing address where the city can reach you. If you want to receive notices by email instead of mail, ask about that option when you call.

If you are requesting a plan based on financial hardship, the city may ask for proof of income, recent pay stubs, or a letter explaining your situation. This is not always required, but having it ready can speed up approval. Keep copies of any documents you send to the city for your records.

How Payments Work Once You Are Approved

After the city approves your payment plan, you will receive a written agreement in the mail. This document shows the total amount owed, the monthly payment amount, the due date, and the number of payments. Read it carefully and keep it in a safe place.

You can pay by mail, online through the city's website, by phone, or in person at a city office. The city will tell you which methods are available for your specific bill type. Set a reminder for the due date each month so you do not miss a payment. If you miss a payment, contact the city immediately to explain and ask if you can catch up.

If you miss a payment and do not contact the city within a certain time frame (usually 10 to 15 days), the city may cancel the plan. Once the plan is cancelled, the full remaining balance becomes due immediately, and the city may pursue collection action or, for water bills, disconnect your service.

What Happens If You Cannot Keep Up With the Plan

If your situation changes and you cannot make the monthly payment, contact the Department of Finance or Department of Water Management right away. Do not wait until you miss a payment. Explain what happened and ask if the plan can be modified — the city may be able to extend the timeline or adjust the payment amount.

If the city will not modify the plan or if you cannot reach an agreement, you may have other options depending on your bill type. For property taxes, you might explore a tax appeal or a hardship exemption, though these have strict rules and deadlines. For water bills, the city has a Low-Income Household Water Assistance Program that may help if you meet income limits. Call 311 to ask about these programs.

Payment Plan vs. Other City Debt Relief Options

A payment plan is not the only way to address a city bill you cannot pay in full. For property taxes, you can file an appeal if you believe the assessment is wrong, or you can look into a senior citizen or disabled person exemption if you may have access to. These are separate from payment plans and have their own deadlines and requirements.

For water bills, the Low-Income Household Water Assistance Program provides grants (not loans) to households below a certain income level. This program pays a portion of your bill directly to the city, reducing what you owe. You can have both a payment plan and be in the assistance program at the same time. Ask the Department of Water Management which option makes sense for your situation.

Frequently Asked Questions

Can I set up a payment plan if I have an eviction or foreclosure case pending?

A payment plan for property taxes or water bills does not stop an eviction or foreclosure case. However, if you are behind on property taxes, setting up a plan shows the court you are trying to resolve the debt. Talk to your attorney or a legal aid organization about how a payment plan fits into your case.

What if I pay off the plan early?

You can pay off a payment plan early without penalty. Contact the city to confirm the exact remaining balance, then send a check or make a payment online for that amount. Once paid in full, the bill is closed and you will receive a confirmation from the city.

Do I need a lawyer to set up a payment plan?

No. You can contact the city directly by phone or in person and request a plan yourself. The city staff will walk you through the process. A lawyer is not required, though you may want legal advice if you are also facing eviction or foreclosure.

Can I set up a payment plan over the phone?

Yes. Call 311 (in Chicago) or the Department of Finance or Water Management directly. They will discuss your bill and payment options with you. You will receive the written agreement in the mail after approval.

What happens if the city changes my payment amount mid-plan?

The city should not change your payment amount once the plan is approved and you have a written agreement. If the city sends you a notice saying the amount has changed, contact them immediately to clarify. If there is a dispute, ask to speak with a supervisor or request the change in writing so you have documentation.