Home Buddies - Remove Judgments and Boost Your Credit Score
To increase your credit score and make yourself more credit qualified you can remove any credit judgments that you may have on your credit report.
If you have unsettled debts just sitting there on your report for too long, then you are increasing the chance of the creditor taking you to court to get a credit judgment. Credit judgments are a court order that demands payment from you on a contract or obligation you made. A credit judgment is the "ultimate validation" of your owed debt because a judge has usually reviewed documentation and has ruled that the debt is in fact credible.
There are other set backs with credit judgments that can create difficulties to get supplements of credit; particularly in the case of the credit judgment attaching to your realty when you are trying to get a mortgage.
Here are some suggested ways to remove credit judgments:
1. File a Motion to Vacate
Your credit judgment can be deleted from your credit report immediately if your vacate request is granted. If you choose to do this you will have to find out about the court procedures in your area.
2. Find out about the Statute of Limitations in your State.
In Texas, the statute of limitation on judgments is 10 years, but can be renewed within 2 years after expiration. Maximum interest rate on a judgment is 8.25% which is lower than the previous 10%.
Judgments will usually stay on your credit report for 7 years; however they can remain collectible for 20 years. Once the 20 year period is expired, it is rather easy to get an extension if the judgment is open and has not yet been collected.
You can object to the credit judgment as being "obsolete" when your state's limits on the statute of limitations has been capped. Your credit judgments will be erased.
3. Negotiate for Removal
You don't want to just pay off the credit judgment because it will still be reported on your credit report as a paid judgment. You have to try to speak to the original creditor and get them to agree to have this judgment totally removed from your credit report.
Wish you well.
If you have unsettled debts just sitting there on your report for too long, then you are increasing the chance of the creditor taking you to court to get a credit judgment. Credit judgments are a court order that demands payment from you on a contract or obligation you made. A credit judgment is the "ultimate validation" of your owed debt because a judge has usually reviewed documentation and has ruled that the debt is in fact credible.
There are other set backs with credit judgments that can create difficulties to get supplements of credit; particularly in the case of the credit judgment attaching to your realty when you are trying to get a mortgage.
Here are some suggested ways to remove credit judgments:
1. File a Motion to Vacate
Your credit judgment can be deleted from your credit report immediately if your vacate request is granted. If you choose to do this you will have to find out about the court procedures in your area.
2. Find out about the Statute of Limitations in your State.
In Texas, the statute of limitation on judgments is 10 years, but can be renewed within 2 years after expiration. Maximum interest rate on a judgment is 8.25% which is lower than the previous 10%.
Judgments will usually stay on your credit report for 7 years; however they can remain collectible for 20 years. Once the 20 year period is expired, it is rather easy to get an extension if the judgment is open and has not yet been collected.
You can object to the credit judgment as being "obsolete" when your state's limits on the statute of limitations has been capped. Your credit judgments will be erased.
3. Negotiate for Removal
You don't want to just pay off the credit judgment because it will still be reported on your credit report as a paid judgment. You have to try to speak to the original creditor and get them to agree to have this judgment totally removed from your credit report.
Wish you well.
About the Author:
Home Buddies is a Houston credit repair coach for investors in real estate. Home Buddies coaches clients through the process of restoring credit and helps them overcome obstacles to financing properties and growing their portfolio.
posted by Credit Counseling at
3:45 AM
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