Now that I'm getting my credit in order it's time to take care of this. According to all the documentation that comes with credit reports this can remain until 7 years after it's paid and remain forever if not paid. I haven't heard anything from them in the last 10 years. It's just there on my credit reports. I don't mind paying the original $1600 but I' m afraid that if I call them the real amount will be several thousand dollars more with interest and penalities. This debt is from the late 80's. Does anybody have any suggestions on how to handle this? Thanks, Mike
RE: Please help! California St I would suggest reading Calfornia state tax law. In Vermont for example, if they haven't taken any action against you for 6 years, the lien becomes invalid by reason of lapse of time.
RE: Please help! California St Liens are different! I would think that once reported to credit report agencies that all interest and penalties stop from that moment on... Don't know for sure, but I don't think liens are sold or bought from one collection agency to another. Have you considered contacting the State Revenue Tax office and set-up a payment plan? Once a agreement plan is done, all interest and penalties stop from the date of agreement. Just curious why the state did not hold from you toward this if you had any taxes that were due back to you each year.
RE: Please help! California St Has this lien interfered with getting credit? If not, I wouldn't worry about it too much. It could become a problem if you are looking for a mortgage, so you may want to wait to do that until it's 10 years old. After that, it is unenforceable unless the FTB has takes steps to renew it. Given the amount, they are unlikely to bother. Although unpaid tax liens may remain on your credit report indefinitely, Experian deletes them after 7 years. So if you are looking for credit, you may wish to apply with companies that pull Experian. FTB deos not negotiate on penalties and interest so it might not be a good idea to call them.
