Hello again. I am sure I will be asking a lot of questions here so I become better educated. I have a question. My husband has a judgment on his credit for Sears back in 1997. A CA is calling to settle this debt. What is the best way to handle this?
If I sound like a complete moron, please forgive me. When I spoke to the CA today, I told them that I have asked for verification of this debt. She said because it is a judgment, he passed the time he needed to have it verified. They want to come up with a settlement amount. If the judgment was granted back in 1997, do we still have the right to ask for verification? Again, I am in the learning process of all of this. Thank you in advance for any and all help.
Since there ALREADY is a judgment, it is too late for validation. Unless the judgment was faulty in some way and can be fought on its own merits. What Flyingifr says is right. If they want to settle, have them put in writing to you the settlement agreement. Make sure that they are willing to DELETE the negative tradeline in exchange for payment and that they will put THAT in writing. Search this site for a variety of wordings on letters dealing with such an agreement if you want to accept such.
With respect to your husband's credit report ONLY ... whether or not you need to pay depends on the laws in your state. You're close to the 7 year mark on negative information. That judgment is about fall off your husband's report because it is nearly obsolete. I'm sure that your judgment creditor knows this and that's why they are calling you now. Depending on your state's laws this judgment may not even be enforceable anymore because it's been so long. Judgments can lose their "teeth" if they are not renewed in a timely fashion. Check the rules in your state to see how long judgments are collectable. If it's less than the amount of time that has passed and it has NOT BEEN RENEWED, you do not have to pay. The fact that you are so close to the 7 year mark for this judgment is a red flag for me and I would be suspicious of any debt collector offering to "settle" a judgment. That sounds like trouble, because the judge has already ordered your husband to pay. If the collector was able to collect, they would have done so ALREADY. This settlement crap may just be a ruse to get you to divulge where you bank so that they can collect the full judgment amount. BE CAREFUL. Once again, once the 7 year mark rolls around the judgment will most likely fall off your report with little effort. However, if the judgment creditor is within the time limit to RENEW the judgment (aka sharpen its teeth) the judgment may reappear on the report.
if they are trying to collect, more than likely they will renew. get a contract in writing and settle in exchange for a "vacation of judgment" (removal).
if they are trying to collect, more than likely they will renew. get it in writing and settle in exchange for a "vacation of judgment" (removal).
Before you do anything, check the SOL statute in the state where the judgment was entered: SOL by State
i'm serious when i say you may want to settle... check into the laws in your state, but i know my collectors - if the person wont settle - will garnish paychecks, etc, for the full amount. don't let it get too far before they won't work with you anymore - especially if you can afford to pay it. get it writing to have it vacated though if you decide to pay!
