cancel
Showing results for 
Search instead for 
Did you mean: 

CO or Judgement

tag
Yoshi2015
Contributor

CO or Judgement

Which item is hurting me worse? I have a paid CO and an unpaid judgement. Should I pay the judgement just have it update as satisfied or should I attempt to just goodwill the CO to gain some points? I don't think valid judgements can be vacated from nc. 

Message 1 of 8
7 REPLIES 7
BallBounces
Valued Contributor

Re: CO or Judgement

Why pursue action on only one item?

050719:     
021924:     


FICO 08 scores listed and are stagnated until multiple derogatory items expire over the next two years.
Message 2 of 8
gdale6
Moderator Emeritus

Re: CO or Judgement

PRs overshadow the entire report so they tend to affect score more than a CO. The paid CO is aging every month so its impacting your score less and less. I would begin a GW letter campaign to the creditor reporting that paid CO asking that the TL be removed. On the judgment you would want to negotiate with the judgment creditor to settle and see if they would be willing to file motion to vacate the judgment once its been paid off.

Message 3 of 8
Anonymous
Not applicable

Re: CO or Judgement


@gdale6 wrote:

PRs overshadow the entire report so they tend to affect score more than a CO. The paid CO is aging every month so its impacting your score less and less. I would begin a GW letter campaign to the creditor reporting that paid CO asking that the TL be removed. On the judgment you would want to negotiate with the judgment creditor to settle and see if they would be willing to file motion to vacate the judgment once its been paid off.


Note - that once they already have a judgment you don't have much (or any) leverage to settle for less than the full amount.  They can already obtain a garnishment or bank levy and take the full amount of the funds from you - plus any costs associated with doing so.   I'd contact the judgment attorney ASAP and get it paid and ask for a motion to vacate once it is paid.

Message 4 of 8
gdale6
Moderator Emeritus

Re: CO or Judgement


@Anonymous wrote:

@gdale6 wrote:

PRs overshadow the entire report so they tend to affect score more than a CO. The paid CO is aging every month so its impacting your score less and less. I would begin a GW letter campaign to the creditor reporting that paid CO asking that the TL be removed. On the judgment you would want to negotiate with the judgment creditor to settle and see if they would be willing to file motion to vacate the judgment once its been paid off.


Note - that once they already have a judgment you don't have much (or any) leverage to settle for less than the full amount.  They can already obtain a garnishment or bank levy and take the full amount of the funds from you - plus any costs associated with doing so.   I'd contact the judgment attorney ASAP and get it paid and ask for a motion to vacate once it is paid.


Pretty much true on newer judgments however older ones can sometimes be settled for less as it takes more time and money to go thru the process of seizing assets or getting a wage garnishment.

Message 5 of 8
RobertEG
Legendary Contributor

Re: CO or Judgement

I would advise to pay a court order that you satisfy the debt.

 

Message 6 of 8
Anonymous
Not applicable

Re: CO or Judgement


@gdale6 wrote:

@Anonymous wrote:

@gdale6 wrote:

PRs overshadow the entire report so they tend to affect score more than a CO. The paid CO is aging every month so its impacting your score less and less. I would begin a GW letter campaign to the creditor reporting that paid CO asking that the TL be removed. On the judgment you would want to negotiate with the judgment creditor to settle and see if they would be willing to file motion to vacate the judgment once its been paid off.


Note - that once they already have a judgment you don't have much (or any) leverage to settle for less than the full amount.  They can already obtain a garnishment or bank levy and take the full amount of the funds from you - plus any costs associated with doing so.   I'd contact the judgment attorney ASAP and get it paid and ask for a motion to vacate once it is paid.


Pretty much true on newer judgments however older ones can sometimes be settled for less as it takes more time and money to go thru the process of seizing assets or getting a wage garnishment.


It costs the same to file the garnishment no matter how old the judgment is - UNLESS it's over 10 years old an you have to revive the judgment.   They also can recover all of those costs and interest.  They MIGHT settle for less just to be done with it - but remember they already have a court order saying you owe the whole thing, and probably were awarded interest and costs.   Judgments should be handled as soon as possible.   The time to contest it was at court - unless you can prove a failure of service and get the judgment vacated - you could be stuck with it - and the interest for a long time.   The office I work at is collecting on one from 2005.  The judgment has been revived and the original debt was $2500 and with interest and costs it is now over $4k.   I'd deal with a judgment before worrying about an old CO account. 

Message 7 of 8
Anonymous
Not applicable

Re: CO or Judgement


@Anonymous wrote:

@gdale6 wrote:

@Anonymous wrote:

@gdale6 wrote:

PRs overshadow the entire report so they tend to affect score more than a CO. The paid CO is aging every month so its impacting your score less and less. I would begin a GW letter campaign to the creditor reporting that paid CO asking that the TL be removed. On the judgment you would want to negotiate with the judgment creditor to settle and see if they would be willing to file motion to vacate the judgment once its been paid off.


Note - that once they already have a judgment you don't have much (or any) leverage to settle for less than the full amount.  They can already obtain a garnishment or bank levy and take the full amount of the funds from you - plus any costs associated with doing so.   I'd contact the judgment attorney ASAP and get it paid and ask for a motion to vacate once it is paid.


Pretty much true on newer judgments however older ones can sometimes be settled for less as it takes more time and money to go thru the process of seizing assets or getting a wage garnishment.


It costs the same to file the garnishment no matter how old the judgment is - UNLESS it's over 10 years old an you have to revive the judgment.   They also can recover all of those costs and interest.  They MIGHT settle for less just to be done with it - but remember they already have a court order saying you owe the whole thing, and probably were awarded interest and costs.   Judgments should be handled as soon as possible.   The time to contest it was at court - unless you can prove a failure of service and get the judgment vacated - you could be stuck with it - and the interest for a long time.   The office I work at is collecting on one from 2005.  The judgment has been revived and the original debt was $2500 and with interest and costs it is now over $4k.   I'd deal with a judgment before worrying about an old CO account. 


There are actually a lot of factors involved - collectability, BK risk, debtor lives in another state, state limits on garnishment, difficulty of locating bank accounts and employer, etc.; and age (that is, being 5+ years old) is more of an indicator of those other factors rather than a factor in and of itself. A judgment that has lain dormant for some time may indeed have more costs associated with forcible collection -  namely, skip tracing, I.E.,  locating employers and assets. But I do agree - get them paid sooner rather than later....

Message 8 of 8
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.