How to Remove A Judgment
Judgments can harm your credit score in a huge way, making it hard for you to obtain credit. Your judgment could be a result of a lawsuit from a former eviction or old debt. Lucky for you, you can have the judgment removed from your credit report even before its expiry date.
A civil judgment is the ruling that a court makes during a lawsuit. Judgments commonly occur due to unpaid collections. On your credit report, the judgments are there as public records. Anyone can see the public record and credit bureaus collect them to show your potential creditors your credit history. A judgment is among the worst things that can be on your credit report.
It occurs when a court orders you to pay a debt. Situations that may lead to a judgment include failure to pay alimony, child support, and other small claim lawsuits. A judgment on your credit report lowers your credit score and potential lenders will not be quick to finance you because you are not likely to pay the debt, according to them.
If you are lucky enough to get credit, you will pay high interest rates. A judgment will stay on your report for seven years. It will, therefore, have a negative impact on your score for seven years. However, its impact lessens with time. If you cannot imagine waiting that long, you can have it removed.
The Different Types of Judgment
Unsatisfied Judgment
This is the most damaging type of judgment. It occurs if you do not deal with the result of the lawsuit and you have not settled the debt.
Satisfied Judgment
This is a judgment that has been settled. It is wise to have your judgment satisfied by either paying it in full or negotiating a settlement.
Vacated Judgment
This is a judgment that has been dismissed through an appeal. This one should not be on your credit report.
Re-filed Judgment
This is a renewed judgment. This means it can keep showing up on your report even after seven years.
Who Should You Pay to Satisfy Your Judgment?
Check your credit report to see who the current owner of the judgment is and how much you owe. Debts get sold and resold, so you must confirm. When an agency sues you, pay the debt quickly to avoid appearing before a judge. The worst mistake you can make is ignoring the lawsuit. If you do not show up for court, your lender wins by default. Also, make a point of talking to a legal professional so you know your options.
How to Delete A Judgment from Your Credit Report
Have the Court Validate the Judgment
Contact the court that issued the judgment through a validation letter, so they can verify the judgment. If the court does not bother or cannot verify, you can have the judgment removed. If the court sends a letter verifying the judgment, go through it with a fine-tooth comb, looking for inaccuracies. In case of any incorrect information, file a dispute with the bureaus. Or you contact a professional company to do all the work for you.
