Default Judgements against Credit Card Debt

[ThatGuy]

OK i talked to one of the judgement companies, and they agreed for me to pay 1998.78 instead of 2,800 dollars. I asked them if they can remove the judgement from my credit report and they said they can't do it. They said i need to talk to this other collector company after i've paid the debt. I know i've read posts that said they can, and I've already made agreement with them to settle this and they were in the process of sending me the letter. I keep arguing with them, they seem to be rude at times, and otherwise not seemingly helpful, unless I talk to them about paying the debt in full. Also they threaten that if i don't pay them as agreed with the lower price they offered me, they will resort to the higher price. How do I get them to comply with me to take the judgement off my credit report? I need advice on this please. This is a real headache. Unfourtantely, this is one life lesson that I had to learn the hard way.

[aaron]

You can't make them agree to remove the judgment - it's accurate information. But it's a near certainty that if you pay first, they will not agree to take the steps necessary to remove the judgment afterward.

[tinykim]

You can't make them agree to remove the judgment - it's accurate information. But it's a near certainty that if you pay first, they will not agree to take the steps necessary to remove the judgment afterward.

I agree that you can't make them do anything but you CAN request that the adverse notation be removed if you pay either the full or a settled amount. The collection agency has already reported the judgment but it really wants the money. A judgment is considered negative, although a satisfied judgment will be at least marginally better because it is paid.

Since it will remain on your credit report for up to 7 years whether you pay it or not, you really have no incentive to pay it off unless you can get something in return. You CAN contact the creditor and ask if you pay a certain amount of money in a prescribed period of time, will they be so kind as to remove the adverse reporting. I know because I have helped several people do it many times and even had one removed from my own credit report just a month or so ago. A collection agency is more likely to remove it because it knows that it didn't have the evidence to prove its case and only got the judgment because you failed to show up. AND IT WOULD RATHER HAVE THE MONEY IN ITS TILL THAN TRY TO RUIN YOUR LIFE THROUGH YOUR CREDIT REPORT. Nothing beats a failure but a try!

For those of you who have had the judgment for 6 years and you are not about to buy a house, you might as well wait it out. Because if you pay it now, it will remain for another 7 years after the date of payment.

A great site for credit stuff is http://www.fair-debt-collection.com/index.html
There's a page devoted to judgments there also: http://www.fair-debt-collection.com/...judgments.html

Please do your research and get an attorney. Don't let the people here deter you from trying to get those judgments either removed of legally vacated. Creditors and collection agencies are allowed to report inaccurate and false information every day, contra to state and federal laws. So don't think that they won't take stuff off if the price is right.

In the real world, your bills should be paid if you owe them. However due to the recent influx of junk debt portfolio buyers who bump up legitimate debts by as much as 300$ with "interest", "late fees", and "attorney fees", not to mention that they only paid 5 cents on the dollar for the debt in the first place, don't go down without a fight.

One of the largest of such companies, NCO Portfolio, was sued by the Federal Trade Commission and paid a settlement of $1.5 million dollars in 2004 for reporting inaccurate information to the credit bureaus http://www.ftc.gov/opa/2004/05/ncogroup.htm. And don't think that they aren't still up their old tricks. They settled with me earlier this year (and several other friends of mine) after we countersued the company and its attorney for violations of the FCRA and FDCPA.

DO YOUR HOMEWORK!!!

[ThatGuy]

For one of my companies that hasn't taken me to court, what should I request from them to prove that I owe this debt? And is it ok if they send me this via fax?

Also for them to remove a judgement from my credit report, is that against the law or are they able to do it legally? If perhaps they agree, should i ask that they write it down in the settlement contract?

[tinykim]

For one of my companies that hasn't taken me to court, what should I request from them to prove that I owe this debt? And is it ok if they send me this via fax?

Also for them to remove a judgement from my credit report, is that against the law or are they able to do it legally?

I think that I provided you a link to where you can get a sample debt validation letter. You must send the letter via Certified Mail-Return Receipt so that you will have proof that you mailed it and it was received. Check your credit reports to see if the statute of limitations has expired. THIS WILL BE YOUR ABSOLUTE DEFENSE IF YOU ARE SERVED WITH A SUMMONS FOR COURT.

I can't stress enough the need to talk to a lawyer. I also provided you with a link to lawyers who handle these matters, particularly ones in which the consumer has been wronged.

If the creditor does not respond to your request for validation within 30 days, it must remove the adverse notation from all of your credit reports.

(I will email you a copy of the validation letter that I used.)

As for the judgments, once you negotiate for the settlement and the removal of the judgment, make them send you a letter stating the terms of your agreement and request that they send you another letter after receipt of payment reaffirming the agreement. DON'T PAY UNTIL YOU GET THE LETTER.

You don't care whether it is legal or not. If the CA decides that it wants to remove the notation, IT will be liable for any legal repercussions or it shouldn't have made the deal with you.