01-04-2011 05:17 PM
So, apparently Gov. Paterson decided to leave me a going away present--a tax warrant.
I thought this was settled, but apparently not. I'm not even going to bother arguing over the amount, since it's less than $1,000, but I have a few unanswered questions anyway.
1. When this judgement hit my report, my score only dropped by 5 points. Not that I'm complaining, but that seems very strange to me. Could it be because it's a relatively low amount? Or because of my next question?
2. According to NYS Dept. of Taxation and Finance, Tax Warrants are only not filed directly by NYS to the CRA's. They also state that once the debt is either PIF or the statute expires, the judgement is then removed from the public record. Now, if I PIF ASAP, and the judgement is removed from public record, will it be removed from my CR since NYS no longer has a vested interest in anymore of my money for the time being? (I'm going to guess no, but a gal can dream, right?)
3. Assuming that the answer to question 2 is no, maybe I can try paying off the debt quickly, then maybe DVing with the CRA's once the judgement is gone?
4. If all of the above fails, how long am I going to have this staring me in the face? The standard 7 years? More? Less?
Any and all help is always appreciated. I'm just glad that this happened after I got my car, otherwise I'd be crying.
01-05-2011 01:27 PM
1) If you pulled your FICO scores from here, and you only dropped 5 points, well, congrats, I guess. I certainly would have guessed more. Sometimes a positive gain can offset a negative loss or sometimes adding one more bad thing (if that's the case) doesn't make a different when other baddies are reporting. In any case, it certainly could have been worse (e.g. 70+).
2) They don't legally have to delete if paid, but that would be great if they did.
3) DVs, or Debt Validation letters, only go to CAs, and not CRAs. The FDCPA allows for us to DV a CA inside of 30 days of their dunning letter.
4) A paid tax lien should report for 7 years from when it was paid. Sometimes they natually fall off sooner.