Three Proven Steps That Can Help You In Disputing a Judgment on Your Credit Report

25
November

We are currently living in a rough economic time period. The present recession has thousands of hard working people failing to live up to their end of the bargain their creditors. Many are finding themselves falling behind in their payments to creditors. A loss of employment, death, hospitalization, and divorce are some of the leading reasons why thousands of people are dealing with a personal financial crisis. These unfortunate individuals are presently implementing different measures that can help them get back on their feet.

Creditors begin to worry when individuals stop making timely payments. They are known to make an earnest effort in trying to resolve matters. Unfortunately, those efforts don’t always provide positive results. At that point, creditors have the choice of taking one to court in order to obtain a court order. A court order forces one to recognize and repay the amount owed. This particular type of order is called a “Credit Judgment”. An order may be submitted by the judge if you fail to address the matter at hand. This is known as a “Default
Credit Judgment”.

A credit judgment can dramatically lower your credit score. It can lower your score by as much as two hundred sixty points. This can have a negative effect on your on your report for up to twenty years if your creditor chooses to restore the judgment. Some are unaware that a judgment can remain in your credit file for seven long years.

Has a creditor recently filed a credit judgment against you? If so, there is no reason for you to be discouraged. Disputing a judgment on your credit report is not as difficult as you may think. There are various methods that you can use to dispute a credit judgment and have it deleted from your report successfully.

Your first point of attack should begin with taking action of obtaining copies of your credit report from the three major credit reporting bureaus. They are TransUnion, Experian, and Equifax. Recent research has uncovered that as many as seventy percent of all credit reports contain errors. These errors can be the foundation for a moving forward with a successful dispute.

It is now time to review the data affiliated with the credit judgment after you receive your reports. What is the statute of limitations for the state where the judgment was filed? Are credit judgments allowed to be renewed within the state? You have a great chance of acquiring a successful dispute if the statue of limitations has ran out and the creditor has not implemented a renewal. One leading credit repair consultant stated that there is only a thirty percent chance of a renewal being implemented by a creditor.

Is the judgment still active and current? If so, you still have a great opportunity of disputing it successfully. According to the law, the credit bureau has thirty days to verify the legitimacy of the item after you file a dispute against it. Many courts have a huge backlog of cases to address. It may take longer than thirty days for the court to address the situation. The credit bureau is required by law to delete the negative item if the court does not issue a response within thirty days.

There are thousands of people that are suffering from bad credit due to some unfortunate circumstance. Adhering to the steps listed above can help you go through the process of disputing a judgment on your credit report successfully.

This post was written by

jason – who has written posts on Budget Clowns.
Father of three and married to a lovely women. Always looking for ways to save money, and invest it properly for my children's future.

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