Judgement Question?????

[mocha76]

Will CA's typically accept PFDs for judgements? Or will I have to pay in full now that it is a judgement?

[newstart2010]

If there is a judgement against you you need to most likely pay in full to satisfy it. 

If you settle with a CA they can and most likely will sell the remaining balance to another CA which will then be a new bad trade line on your record.  If you are going to do a PFD I suggest paying completely.  Otherwise they will just find another way to get you in the end.

[mocha76]

Thanks for the response.  Unfortunately, I can not afford to pay it in full right now.  I will start making payments and hopefully they will agree to file a Motion to Vacate after I have paid it off.

[mal007colm]

I had a Judgement against me over 8 years ago but I paid it in full as soon as I received notice of the judgement in the mail. The OC vacated the judgement and it was removed from my reports. If you pay a CA I am not sure that they can vacate the judgement because I am not sure that they would have any standing with the court.

[Anonymous]

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@newstart2010 wrote:

If there is a judgement against you you need to most likely pay in full to satisfy it. 

If you settle with a CA they can and most likely will sell the remaining balance to another CA which will then be a new bad trade line on your record.  If you are going to do a PFD I suggest paying completely.  Otherwise they will just find another way to get you in the end.

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Judgment creditors often accept settlements since the simple act of having a judgment is no sure bet to obtaining what they want most -- $$.  It is also untrue that settlement on a judgment opens you up to having the remaining debt re-sold and re-reported.

When you pay / settle a judgment, the judgment creditor signs what is called a Satisfaction of Judgment, a General Release and should give you a receipt for payment tendered.  Together, these documents prevent further collection on any amounts above the settlement figure and release you from any liability whatsoever -- forever.

Simply paying a judgment, though, does not usually give you grounds to have it removed from your credit file.  That said, some courts will vacate judgments that have been paid (satisfied), especially if the judgment creditor approves or at least does not object.  Again, usually no court has to do this, but some are, shall we say, kind enough to allow it.

Negotiating a settlement on a judgment that includes, if lucky, help in having it vacated is a perfectly safe and valid manner of disposing with the issue.

[mocha76]

Thanks, O6 for the valuable information.  I am going to make payments and hopefully they will be kind enough to file a Motion to Vacate once the judgement has been satisfied.

[Anonymous]

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@mocha76 wrote:
Thanks, O6 for the valuable information.  I am going to make payments and hopefully they will be kind enough to file a Motion to Vacate once the judgement has been satisfied.

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I'd talk with them about vacating the judgment before -- before -- you start paying unless, of course, they are already attaching your wages or otherwise executing the judgment against you now.

[mocha76]

No, they have not executed the judgement.  I definitely want to avoid that.  I wonder if I should speak with them or communicate by letter?  I'm afraid that if I communicate by mail that they might execute before I have a chance to make an arrangement with them.  I am thinking at this point, I should just speak with them.  I have been avoiding speaking with them but I do not want them to garnish my wages or anything.

[Anonymous]

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@mocha76 wrote:
No, they have not executed the judgement.  I definitely want to avoid that.  I wonder if I should speak with them or communicate by letter?  I'm afraid that if I communicate by mail that they might execute before I have a chance to make an arrangement with them.  I am thinking at this point, I should just speak with them.  I have been avoiding speaking with them but I do not want them to garnish my wages or anything.

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I would call them.  Follow up in writing especially to confirm whatever arrangements they make with you and get their committment in writing. 

One thing to consider is that by communicating with them it may awaken the sleeping giant.  As long as you indicate a willingness and ability to pay, they probably will save themselves the expense and hassle of starting enforcement actions.  The shorter the time frame in which you tell them you can pay, the better it will be. Make sure you can keep whatever committment you make to them!

Meanwhile, if applicable, you might also look into the validity of the judgment.  If you were not properly served, for example, you may have grounds to get the judgment vacated.  If that applies in your case, it could strengthen your position when you bargain with them.  One way to handle it is to tell them something like, "I don't remember ever being served in this action, but in any event my desire now is to handle this as amicably as possible.  To that extent, I would hope we can come to some type of payment terms that would include having this judgment disappear from my credit file.  What can we do to accomplish this?"