I have a judgment against my self for an apartment I rented a few years back. I contacted the original creditor because I am now out of State and have very limited access to any court records. I contacted them and they said they remembered me but had to get back with me on any specifics of the judgment. This has been about two weeks now. Also, when I pay them their money what happens? I know thereâ??re required by California law to submit a notice of satisfaction to the courts within 14 days. I will remind them of that in my letter when I send the payment. My question though is what happens to my report? Well it show as satisfied and is that a good thing? Or is there a way to get it removed once it is paid for? Thanks. P.S. This board has been a lifesaverâ?¦
Unfortunately, a PAID Judgement is just as bad (in FICO's analysis) as an UNPAID Judgement, just like a PAID Charge Off is just as bad as an UNPAID Charge Off. FICO does not see the word "PAID". With Credit Cards it no longer sees the word "CLOSED" - it counts even closed lines of credit against you. With that in mind, why are you paying this debt if you are getting nothing in return?
That's interesting! I figured that it would hurt me when I start looking for a home. I still rent now and have a felling as I am trying to move into higher rental properties it will affect me as well. Any comments???
Re: Re: After payment???? Exactly. Why pay it if it is not going to benefit your credit report? It will eventually fall off anyway.
Re: Re: After payment???? It will affect you definitely. In my case I moved to a new apartment and stayed there for 6 years. When I sarted looking for a new place, that negative line had fallen off my report. So it didn't affect me.
Re: Re: Re: Re: Re: After payment???? If the OP NEEDS to rent or buy a home and must either have the TL removed or paid to get his home then if he does not want to wait 7 years like you love to preach to everyone then he may WISH to PAY it and be able to get what he wants (HOME). In this case the HOME is his priority NOT FICO! Many times people have to pay TL off to get a home they can then go back at a later time and attack the TL and hopefully get it removed.
Re: Re: Re: Re: Re: Re: Re: After payment???? GREAT! I am just trying to help the OP with his question.
Re: Re: Re: Re: Re: Re: After payment???? You are missing a couple of important issues: 1: He only HAS to pay it if the prospective Landlord/Mortgage lender MAKES it an issue. If he can get the apartment without paying it off, why pay it off? 2: FICO IS the priority if you want to get the home, especially at an affordable rate. The higher the FICO the lower the Interest Rate. 3: He doesn't have to wait 7 years. First of all, he's already waited 2. Secondly, as a debt gets older and older it has a lesser and lesser effect on FICO. He can attack the TL now by disputing it repeatedly. All it takes is one failure to respond and off it goes.
Re: Re: Re: Re: Re: Re: Re: Re: After payment???? I am as well. My point is: why pay these sharks when the 7 year law is there to help us? But I understsnd that most people don't want to wait.
Re: Re: Re: Re: Re: Re: Re: Re: After payment???? I was under the impression that judgments remain on your report for 10 years. If so then I should just pay it because I plan on looking for house in the next few years. Would it look better to a motgage company if I pay it before they ask me to? Also it is only reported on one report, TU. The others know nothing about it. I was declined rental recently and thats what brought it to my attention. This has not come up in the 3 years it has been on my report. It sounds like it's better not to pay unless I have to. I have heard of people paying judgments and then being able to get them removed after. Is that true or is it harder to remove if I pay it?
Re: Re: Re: Re: Re: Re: Re: Re: Re: After payment???? I believe judgments are 7 years, then off. BK is 10 years.
Re: Re: Re: Re: Re: Re: Re: After payment???? I think it is you that is missing some issues. 1) You are reading your thoughts into his post. He already stated that he thought this TL would affect his ability to get a home! Will it for a fact? WE donâ??t know. That is why I put in my post that IF he NEEDED to pay this off to get a home then his priority is the HOME NOT FICO! I never said just pay it will be great for your FICO. 2) Again you are placing your thoughts into his post. Who is to say his FICO is already not high enough that he can still get a home with a great rate with the PAID mark on his credit? DO a search about mortgage loans and see how many people HAVE to pay off a TL to get a home. Many lenders will not take you if you have UNPAID items listed on your report. You can always attack the TL again at a later time (after you have what you want) 3) The fact still remains he MAY have to pay this off if he wishes to get a home and NOT wait 2, 3, 4, 5, 6, 7 years whatever the case may be. It is HIS decision to make when he feels he will need a home. My post is only about WHY the OP would in SOME circumstances want to pay the debt even though it will not help his FICO. Too many people are ONLY concerned with FICO and the look of their reports. If you need a place to lay your head at night and the ONLY way you can get that done is to pay the TL off. What are you going to do? Sleep with FICO wrapped around you at night to keep you warm? You do what you must to get the home and then attack the TL later.
If it is only reporting on TU, I would dispute it with them as "not mine" before you shell out any $$, TU is one of the better ones at deletion. Wait 30 days, see your results and go from there. Good luck, Vixie
I've yet to work with a mortgage company that doesn't require all unpaid debt to be taken care of prior to closing escrow. I know nothing about judgements -- Can a deal be worked out where following payment of the judgement the person who filed it withdraws it? Once again, it is highly unlikely that you will be able to purchase a home without paying this off (or rolling it into your mortgage and paying interest on it for the next 30 years). If there is a win-win in this situation, I would try hard to find it. This is, of course, assuming that you are looking to buy prior to the judgement falling off.
From reading his posts it would appear he is looking to move up to higher rental property first & then maybe buy later. That's a good idea. Continue renting, wait until this falls off your report & then your interest rates will be much lower when you are ready to buy.
Once again, no experience with judgements. But . . . I thought I read something that said judgements can be renewed indefinitely (while interest continues to accrue). Might be worth checking into.
