Execution on Money Judgement and Credit Score Impact

[kathbos75]

Just received in the mail some paperwork from the Sheriff Departments Division of Civil Process. It appears Cavalry has taken a lein on my home in the amount of 4k. It says that they have suspended the further levy on this execution upon the above descried real estate and no further action will be taken at this time.

Based on this paperwork. a judgement was entered in May of 2005.  They are now executing on this 1/9/2017.

I do believe this to be debt that I incurred as a reckless college student  with a 1k Discover card in 1998.  I had a few very small limit cc at this time. Over the years, I have paid these off via collections.  I was married in 2009, changed to my married name, and we refianced a house together in 2015 (my name was added to mortgage). At that time, I was made aware of 2k in medical bills that we had incurred that needed to be paid off prior to the refinance. We paid these off and refiance went off without a hitch.   I was never informed that I had this judgement out on me, nor that I owed any more $ to anyone. There was nothing listed in my Credit Report while refiancing in 2015 around this debt.

My questions are: I assume they are executing on this now as they have aligned my maiden name and married name (both names on documents) and they discovered I now have value in a home.   I assume because they state they are taking no further action, that if nothing is done, payoff would be forced to occur if we sell or refiance again.

Should I not expect to see a hit on my credit report if the judgement dates all the way back to 2005? (Perhaps it was there before, but I was not religiously checking my credit prior to 2012 which is when I presume (7years) it could have fallen off?) Or should I expect to see a hit particularly related to the lein because it has just been executed on?

Also, I have NO IDEA how to proceed IF I should pay this off. Let it sit till we refi or sell (no plans in the future)  reach out to SOMEONE (not sure who) to get on a payment plan for payoff (will that drop my score?) Any insight would be helpful.  Also, I am in MA. 

I feel like i have done a great jo managing and improving my credit of the course of the last few years and hoping this doesn't completely ruin that.