I've got a judgment for about $6,000. It's been over 4 years since it was filed (1998). According to the court papers, which I am in the process of getting, I was served by publication. The 1 CR it's on verified once, but I 'm not sure how because my credit report has my name as Joe J Smith and the judgment is filed as Joseph J Smith. I'm going to try for deletion that way, but if I'm not successful... I'm going to try and find some procedural error. If I can't, I guess I'll have to make a settlement offer. I've read that on older debts they are only worth about 10% and I'm planning on starting there. QUESTION(S): What is the max I should offer to settle? How willing are creditors to settle for less than the entire judgment amount? Should I ask for deletion, paid as agreed or what? What if they refuse? Given the amount, would it be better to have an attorney do this for me? I know I can't get a decent (or any) mortgage with this hanging out there.
I just settled a judgement. The origional amount was for $1410 and I settled for $1000. Here in Colorado, it is hard to vacate a judgement. I settled for satisfied on the judgement and deletion of the negative trade line from the OC. I have a sign letter from the CA stating that FNB Omaha will delete the tradeline (still waiting). Is FNB Omaha obligated to adhere to this? tix
I just paid a judgemnt for about 2300.00 because the original creditor would not settle. From everything that I have read and heard, judgements are just basically above bk. However, for it to read satisfied means quite a bit, but most say that it does not affect your score once it is satisfied. Maybe see if you can settle, for that amount of money they may want to settle, how ever they really don't have to since after the judgement that now hold all the cards. My judgement was in VA. Whatever, the outcome, it will just be a relief to have it behind you.
If you offer to settle, they will check for assets and try to make an informed decision as to how much you can pay. If they think you can pay the whole amount, that is what they will want. If they think you are broke, they will go for only a little. The point is, they look at everything - money in your bank account, home equity (if you are in a state where they can get your home), available credit on your credit cards (yes, they want you to charge your payment), income, cars, etc. They will know more about your assets than you do. When I went through this, they knew how much was in my bank account to the penny. The decision is based mostly on what they think they can get out of you. You need to move assets around before you call them. Keep a few bucks in your checking account. Consider cashing your paycheck at your bank and paying bills with money orders for a few months so there is no money going through your bank account. Did you actually owe the money? You may want to check on validity of service by publication to see if they did it right. They can usually do it, but they have to do it right.
My judgment was around $1200 and I called the credit to pay it. They forwarded me on to their collection agency that they were using and they offered me a first time one and only settlement for 1/2! Needless to say I sent them the check ASAP! The agreement was that they would have the judgment removed from my reports but they never followed through with it and I never got it in writing.
