Judgements

[Anonymous]

I have two judgements on my CR from 2010 that I am now in a position to satisfy.  One judgement is from Main Street Acquisitions for $5801 from an HSBC account that no longer appears on my CR.  The other judgement is from an attorney representing Capital One for $9357.  The Capital One account still shows on my CR and continues to increase so it is now $16500. 

When I contact the attorneys for the judgements am I negotiating the judgement amount or in Capital Ones case the new amount?  Do I contact on phone or via letter?

From my reading of items in this forum, I should not expect my FICO score to change when the judgements are satisfied correct?  I want to purchase a house sometime this year so I am trying to clean up as much as possible before going to a lender.

Thanks

[gdale6]

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@Anonymous wrote:

I have two judgements on my CR from 2010 that I am now in a position to satisfy.  One judgement is from Main Street Acquisitions for $5801 from an HSBC account that no longer appears on my CR.  The other judgement is from an attorney representing Capital One for $9357.  The Capital One account still shows on my CR and continues to increase so it is now $16500. 

When I contact the attorneys for the judgements am I negotiating the judgement amount or in Capital Ones case the new amount?  Do I contact on phone or via letter?

From my reading of items in this forum, I should not expect my FICO score to change when the judgements are satisfied correct?  I want to purchase a house sometime this year so I am trying to clean up as much as possible before going to a lender.

Thanks

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I prefer to contact creditors by mail so its all in writing and there cannot be any "oh, I didnt say that"... Judgments that are not on your report dont affect your score. For the one that is on your CR you might see if they will vacate the judgment once you pay it, you can also check and see if your state allows you to file a motion to vacate on grounds its been paid, if it can be vacated some way then its gone from your CR. You are going to most likely have to negotiate from the current balance not the original judgment amounts, interest and fees can legally be added to judgments. Good luck

[RobertEG]

Once they obtain a judgment, they have the power of the court behind them, and they may be reluctant to negotiate a settlement for less.

All you can do is offer.

If appling for a motgage, the judgment will most likely need to be satisfied prior to loan approval.  Dont let the prevailing creditor in the judgement know that you are apping for a mortgage. 

If you offer a settlement for less, they will most likely do a pull of your CR to get an idea of your ability to pay the full amount.

If your debts are being paid, they may perceive you have ability to pay.

That could even provide incentive for them to move now to seek required satisfaction, such as seeking garnishement of your pay.

If your current report is in shambles, it might indicate there is no water in the stone, so they may choose negotiate a settlement rather than continue to pursue the entire amount.

If considering purchase of a home in the near future, that implies your credit report may be looking better?

[Momof5]

Also, you have to look at the actual judgment.  The judge may have awarded post judgment interest which is why the current balance is so high.