Posts Tagged ‘credit report’
Credit Judgments
If a debt remains unsettled for too long you risk the creditor taking you to court to get a credit judgment. Credit judgments are a court order demanding payment on a contract or obligation. You can say it is the “ultimate validation” of a debt as a judge has usually reviewed documentation and ruled that the debt is in fact valid.
Having credit judgments on your credit record can lower your credit worthiness and scores significantly. One of the other major drawbacks of having credit judgments is it can be nearly impossible to get extensions of credit with unpaid credit judgments on your credit reports especially a mortgage for a home since a credit judgment can attach itself to your real property.
Removing credit judgments can be handled a few different ways:
Check out the Statute of Limitations for Your State:
Judgements will usually stay on your credit reports for 7 years; however they remain collectable for 20 years. Once the 20 year period is up however it is pretty easy to get an extension if the judgement is open and not collected on as of yet. Now, if the statute of limitations has been exceeded you can dispute the credit judgment as “obsolete” with the credit bureaus. There is a good chance this will remove credit judgments that are past the statute of limitations.
Negotiating for Removal:
Another way that works to remove credit judgments is to negotiate with the creditor that the judgment is open with. You may be able to get them to dismiss the credit judgment by paying it in full. This is much better than just paying it off as the credit judgment will just be updated as “paid” and it will still show on your credit reports.
Filing a Motion to Vacate:
I am not going to get into detail with this one. If this is the route you choose, you will need to do some research for court procedures in your area as they different greatly. However, understand that if the courts grants your vacate request the credit judgment should be removed from your credit report immediately.
Removing credit judgments is a sure fire way to increase your credit worthiness. To find out how Lexington Law can help you to remove your credit judgments please visit my Lexington Law Firm review page.
Tags: credit, credit report, judgement, judgment, lexington law