Author: John Cooper
A judgment is also commonly referred to as a default judgment or credit card judgment. This is simply a variation of the same meaning.
You have been found to be legally responsible for a debt. This will happen in a court of law.
The creditor has sued you and won their case. This gives the creditor legal grounds to have your wages garnished to pay back the debt.
This will cause you credit score to be negatively impacted, it is a very derogatory mark to have on your credit. Judgments can be sought after for any sort of unsecured debt, it is common for collection agencies to seek judgments.
This mark will remain on your credit file for 7 - 10 years. It depends upon what state the case was filled in and what the statutes of limitations are in that state. It is also common for lenders to seek a renewal judgment if the debt has not been repaid at the end of 7 or 10 years.
This makes it very difficult to ever remove a judgment from your credit. However it can be done and with a little luck you may not even have to pay it.
I recommend you first disputing the judgment with the credit bureaus. This is done by writing a dispute letter in which you explain why the listing is wrong and should be removed.
The bureaus will then hold an investigation. They will try and verify the debt and the amount of the debt with the lender or collection agency.
If the debt is not verified or found to be inaccurate then the bureau must remove the mark from your credit report. Often investigations result in a mark being erased.
However a judgment is such a severe mark that it doesn\'t have as good of chances of being removed. This often means you are stuck with the listing.
However in some instances a judgment is wrong and inaccurate. Thus it should legally be removed from your credit.
This is when I recommend a credit attorney. They will be able to use their expert knowledge and when necessary go to court to prove that the judgment is not right and should be removed.
You can actually hire a credit attorney at a reasonable rate. Lexington Law has 22 credit attorneys on their staff and they can be hired at under $80 a month for the top of the line service.