A judgment is normally placed on your credit report after a court ruling against you. Although creditors initiate the lawsuits, they are not responsible for reporting the judgments to the credit bureaus. As such, creditors generally are not able to remove judgments from your credit report. You can, however, remove a judgment from your credit report if legal merits exist for the removal and a court orders the removal of the judgment from your credit report.
Legal Recourse
There are several reasons why a judgment can appear on your credit report unauthorized. If the judgment should not be on your credit report, the likelihood of having it removed is very good. Judgments can be removed when their unauthorized appearance on your report results from such things as: 1) identity theft; 2) a lawsuit you have no knowledge of; or 3) creditor errors. An attorney can evaluate the merits of your case and the likelihood of getting a judgment removed from your credit profile. Even if all legal options are exhausted without success, most judgments will automatically fall off your credit report after seven or 10 years.
What Can I Do Once I Have a Judgment?
After the creditor has won a case against you, there are steps you can take to minimize the adverse effect a judgment will have on your credit report. First, make sure you remember the date of the judgment so you will know when you can request removal. Additionally, the judgment on your credit report states generally the payment status of the judgment. Creditors view paid judgments more positively than unpaid judgments.
The Judgment Is Still on My Credit Report
It can happen that a judgment will remain on your credit report longer than 10 years, in which case you need to request its removal. You should keep all documents pertaining to the court case. The Federal Trade Commission recommends that you file your grievance in writing. Use certified mail with return receipt requested. Make sure you send copies of documents that are relevant, highlighting dates of the filing and expiration of the judgment.
Statute of Limitations
The filing status of the court case determines how long a creditor has to collect on the judgment. A creditor can still attempt to collect on a judgment that no longer appears on your credit report. The statute of limitations for adverse credit report information removal and the statute of limitations for court cases are two separate things. In some states, a creditor has more than 10 years to collect on a judgment. In these states, a creditor can legally collect the debt long after the removal of the judgment from your credit report.
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