How To Pay Off Your Installment Agreement Faster

If you want to pay off your installment agreement faster, you have a few different options. The flexibility offered by IRS payment plans allows you to pay more if you are able to, which allows you to cut down your balance and minimize penalties and interest.

Lump-Sum Payments

You can begin your payment plan by making a lump-sum payment. If you have a method of getting some extra cash, such as getting a loan or selling some assets, this one-time payment can offer you several benefits:

• Lowering your balance reduces the amount of interest and penalties you’ll have to pay
• A lump-sum payment can allow you to lower your monthly payment or reduce your repayment period
• A one-time payment may allow you to qualify for certain types of installment plans, such as streamlined installment agreements

If you can’t make a lump-sum payment, you still have other options for paying off your installment agreement faster.

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