My wife and I are looking to buy our first house through an FHA loan. Our CRs have been clean for the last 1.5 years and we finally scrapped up enough money for a 3% down. Only problem now is that I have a judgement from 2005 for $4,900 for a personal loan with Wells Fargo Financial. From what I understand, FHA loans require that all judgements be cleared or at least show in process of being repaid. (someone please correct me if I'm wrong?) Here is the info that is shown on public record: 3/3/2005 10:00AM CV Case Status Review CMC vacated; Jgmt before CMC C 02/23/05 01/10/05 None Non I'd like to get this resolved. I have a few questions: 1. I have read about contacting the lawyers on record and asking for a nonsuit in exchange for a settlement. If I decide to contact the lawyers on record, do I need my own lawyer to do this? Should I give it a try on my own with a PFD and request for nonsuit letter? 2. Should I try to contact Wells Fargo Financial directly and see if I can come to some kind of settlement with a PFD? Its already a judgement so not sure if its possible to go back to the original creditor at this point? 3. My judgement is in Santa Clara County in CA. I moved to Sacramento County in CA and I've "heard" that since the judgement is in a different county, I don't have to worry so much for the FHA loan. Is this true? If so should I just leave the judgement alone? I'm thinking I should just address it now so there aren't any surprises down the road. Any comments on this? Any help would be GREATLY appreciated. Thanks!
