I bought a vehicle in 1993. Lost my job in 1994 and was continually delinquent until 1997 when I voluntarily surrendered the vehicle. They sold the vehicle for $5,000 less than what I owed. They took me to court in 1998 for the balance. A judgment was entered in 1998, but I wasn't able to pay anything on it since I was only living on a $5,000/year income and student loans. I have since graduated, got a new job and am trying to work at cleaning up my credit. I was told by their attorney in 1999 that they were considering me indigent at the time and that I could just pay as I was able. (I haven't heard anything more on this since that time) I checked with the court house and found out that the original judgement still stands. (Balance + statutory rates) I'm afraid if I contact them about paying the balance they will add in all the statutory rates that have incurred since that time. Yet, if I don't, the judgment will remain on my records for another 4 years and they having the option of renewing it before the SOL. What is the best way to take care of this judgement? What is the worse case scenario regarding the rates and any other fees they may decide to tack on. By the way, I live in Michigan.
><- <>- ><- <> ~~~ ><- <>- ><- <> ><- <>- ><- <> ~~~ ><- <>- ><- <> What is the best way to take care of this judgement?
Ronald, what is the Statute of Limitations (SOL) on a judgment in Michigan. I'm thinking it could very well be over by now. If so, I'd sure think that the collection agency (CA) might be willing to settle for pennies on the dollar? Worth a try, but dont' phone them. Do a bunch of research first, and then when you're ready you'll write them a letter to negotiate for an amount that will be considered payment in full.
