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angieluckie
197 Posts |
 Posted - 02/11/2008 : 2:45:03 PM
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Hello,
I have a borrower who had a $1,600 civil judgment placed on his credit report in December. He paid this judgment in Jan but it still shows he owes $1,600 on his report.
My question is: If I get a rescore on his report to show a zero balance on this judgement (being that it's so new), will this raise his credit score? Has anyone ever had this happen with any of your clients?
FYI - With the exception of this, my borrower has peferct payment history with all of his tradelines.
Thank you. |
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KellyVanguardNM
509 Posts |
Posted - 02/11/2008 : 3:15:49 PM
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I have had his happen several times. If you can show proof of payment than you can pull a supplemental Credit report. I use Rapid Rescore.
quote:
Originally posted by angieluckie
Hello,
I have a borrower who had a $1,600 civil judgment placed on his credit report in December. He paid this judgment in Jan but it still shows he owes $1,600 on his report.
My question is: If I get a rescore on his report to show a zero balance on this judgement (being that it's so new), will this raise his credit score? Has anyone ever had this happen with any of your clients?
FYI - With the exception of this, my borrower has peferct payment history with all of his tradelines.
Thank you.
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angieluckie
197 Posts |
Posted - 02/12/2008 : 6:52:14 PM
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| Kelly, on average, how many points does this increase their score by? |
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KellyVanguardNM
509 Posts |
Posted - 02/13/2008 : 08:39:53 AM
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on mine it was 30 pts.quote:
Originally posted by angieluckie
Kelly, on average, how many points does this increase their score by?
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CoralSnake
10812 Posts |
Posted - 02/13/2008 : 09:55:08 AM
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| If you show a judgment as paid, generally it will hurt the score since it brings the last date of activity on this derogitory account into the current month. |
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KP123
23 Posts |
Posted - 02/13/2008 : 3:19:49 PM
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| I am working on a similar transaction. The repositories will will only take a satisfaction of judgement from the court. My client paid the judgement in court the same day. The plaintiff has 14 days to file a satisfaction of judgement. You have to file a presumed satisfaction of judgement with the court with proof of payment if you cannot get the plaintiff to file. You can read to civil code for the county that it was filed in. Being a new judgement I would think that if it was satisfied and rescored it would go up. Mine was from 2001 and nothing changed on the scores. Good Luck. |
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ML
2997 Posts |
Posted - 02/14/2008 : 01:59:23 AM
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You should never, ever pay a civil judgment first. A paid judgment on a credit report looks almost as bad to the credit bureaus and the U/W as an unpaid judgment! Why did the borrower let the account go to judgment in the first place, the U/W will think? See the rationale?
You should make every effort to have the judgment VACATED! As if it never exsisted, expunged; even if you pay the full amount. The court and the credit bureaus will have no choice but to remove the judgment from the record.
You're not done yet, if they agree to vacate, you should demand that they themselves file paperwork. Also demand that they notify any collection agencies they may have hired to collect and also notify the credit bureaus of the "mistake." It is also crucial before accepting any settlement offer (in writing, naturally) that they send you copies of any paperwork received from the courts about the judgment vacation or dismissal. Good Luck, Luckie!
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anannival
416 Posts |
Posted - 02/16/2008 : 07:25:22 AM
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| Does he have any debt you can pay down to under 50% instead cuz like coralsnake said, it might hurt you more than help you when you re-report the judgement in the current month. |
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sreichert80
109 Posts |
Posted - 02/19/2008 : 08:45:50 AM
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quote:
Originally posted by ML
You should never, ever pay a civil judgment first. A paid judgment on a credit report looks almost as bad to the credit bureaus and the U/W as an unpaid judgment! Why did the borrower let the account go to judgment in the first place, the U/W will think? See the rationale?
You should make every effort to have the judgment VACATED! As if it never exsisted, expunged; even if you pay the full amount. The court and the credit bureaus will have no choice but to remove the judgment from the record.
You're not done yet, if they agree to vacate, you should demand that they themselves file paperwork. Also demand that they notify any collection agencies they may have hired to collect and also notify the credit bureaus of the "mistake." It is also crucial before accepting any settlement offer (in writing, naturally) that they send you copies of any paperwork received from the courts about the judgment vacation or dismissal. Good Luck, Luckie!
No offense but demanding anything of a prosecuting attorney is like squeezing blood from a turnip. Vacating a judgment would be great but in realty, it is going to be much easier to satisfy the judgment and have the satisfaction recorded by the county.
As far as credit bureaus go, a satisfaction might actually hurt the credit score because it brings an old derog recent. So paying off a judgment just to try to increase credit might actually take some time to start healing.
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