I am in the process of trying to clean up my credit report and need a bit of advice on a judgment that i have against me. the original judgment is from citibank for a credit card and it was filed on 10/2003, it is for about $8000. I have recently had it verified and it came back verified. At this point this is the last really big hickey on my report and would like to get rid of it somehow. I am wondering if i should just wait it out, i am not sure what the SOL is in Texas. Or if i should try and settle it for a lower amount. any thoughts would be helpful mburris
No use to worry about the SOL for collection of judgments in Texas is. That has no bearing on the SOL for reporting which is 7 years 6 months. So that means that the judgment won't fall off until about 2010. About 3 years from now. And then it won't make any difference whether it is paid or not. In Texas the law on judgments is not a pretty one to contemplate. Judgment in Texas lasts for 10 years after which time it can be renewed if that is done within 2 years after it went dormant. After 12 years then it cannot be revived. So while you could file motion to vacate the void judgment that would not be a good idea at all because if they are doing nothing to collect it right now is to kick the sleeping dog and have him jump up and bite you. So the best course of action would seem to be to let him sleep peacefully and do nothing that would wake him up.
So much for a sleeping dog. I was sent a letter about this judgment from an attorney wanting to settle this judgment for 85% of the value. I think that someone new bought it and is now trying to see what they can get from it. Should I try and low ball a settlement with them or just let it continue to sit?? Any thoughts? mburris
There is no wage garnishment in Texas, and homesteads are protected, but you might want to consider where you are banking, as $8K that has been sitting and drawing interest for a few years is a big chunk of change.
I was thinking about offering them like $3000 to settle it?? Anyone had any experience negotiating judgments?? thanks mburris
I posted this awhile back and took the let a sleeping dog lie approach. UPDATE: I just got a letter along with a request for "interrogatories to aid in execution" It looks like someone has bought the judgment and is looking to try and collect on it. I am not sure what to do at this point? Any advice.
They want to find out where your assets are so they can satisfy the judgment. If you don't answer, they'll probably file a motion to get the judge to force you to answer the questions within a given time period. Do you have any money to settle this? Who did the letter come from this time?
Well, if I were you, I'd start moving my money OUT of the bank and stockpiling cash at home. Eventually, you will be compelled to appear in court and give information about where you bank, what assets you have (such as a car or truck titled in your name), and so on. If your bank accounts are nearly empty (below the dollar amount that is exempt under your state's nonbankruptcy exemptions) then you can safely say where you bank, and of course keep secret any assets that the court cannot prove the existence of, such as cash in your mattress. If the new owner of the judgement is unable to seize/garnish anything that can be used to pay toward the judgement, then eventually they may be open to a settlement. But not before they try to squeeze the full amount from you!
Hi guys - Im in TX, and had something similar happen. I sent this letter and had some success in negotiating. I think a lot has to do with the attorney and how they present it to their client. ___________ Dear Mr. Attorney: Thank you for your interest in my case involving **************. As noted in your correspondence, I am now aware of the judgment recorded on February 21, 2008, on behalf of *************. Prior to the letter from your office, I was unaware of this judgment. In accordance with the law, I was not properly served as the judgment was dropped off with my elderly mother, who failed to notify me. I did not reside at that address for some time, and without knowledge of having received the notice, a default judgment was awarded. I have documentation to support my residency at the time of said delivery. I am currently seeking council on potentially having the judgment vacated. I am not intending to disregard the matter, however, and would like to resolve this in a mutually beneficial and responsible manner, and this letter should serve as acknowledgement of receipt of your officesâ?? correspondence, and an offer of terms, as offered by your initial letter dated October 7, 2010. I am not disputing or denying the fact I owe money to Southwestern Bell Yellow Pages, Inc. I am willing, as my offer, to set up a payment plan for the reduced amount of sixty (60) percent of the original debt ($7370.00) for 36 months, equaling $4422.00 total, with payments of $122.84 a month until the balance ($4422.00) is paid in full. If your client is agreeable to these terms, I will cease any action to vacate the judgment. This is the amount I can currently afford, due to garnishments for child support, federal student loans, and current modest living expenses. In addition, as permissible under the Fair Credit Reporting Act, FCRA Section 605(b), I would ask that your client remove the judgment from my credit profile. This is of utmost importance to me, and above any other terms we can agree upon, not negotiable. I am well aware that under current state law, garnishment through my employer is prohibited, and I posses a good understanding of the definition of non-exempt property. In addition, I do not keep an active account holding funds that can satisfy the balance in full, as all my debts are paid cash or by automated process. Currently, I do not posses any non-exempt property or significant attachable assets to cover the entire balance. Please present this to your client, and consider this an offer to settle my debt with Southwestern Bell Yellow Pages, Inc. I will eagerly await your response. Best Regards, ------------------------------ Knowing the difficulty in removing judgements, I chose this route. Im hoping that in the future, I can try to get it removed by having the court or CRA validate it. Not sure yet. Hope this helps. D
