I had a NY state income Tax Lien on my credit reports from tax year 2004. The Lien was done in 2010. I have been fighting with the state of New York over this and finally have results. I received a letter stating that "Due to information I have provided the Lien has been cancelled" This letter was dated 4/14/2017. Now, the question is: What's next? Will this be removed from my reports automatically, and if so, how long? Do I need to dispute this now with the credit agencies now that it has been cancelled? Will it be reported as paid? Which I believe is still a bad thing to have on my reports. I am working on rebuilding my credit after too many years of neglect, and am clueless as to how this cancelled tax lien works.
States dont "report" tax lien information directly to the CRAs. They post the lien in the public record, and they are then picked up by the CRAs by way of their own review of public record information, usually by hiring vendors such as LexisNexus to review public records.
You are thus relying on the CRAs to recheck the public record information rather than a furnisher to report to the CRA.
The CRA or their vendor do not review all public records each month, and thus there can be a delay in updated public records finding their way to your credit report.
If you have a vacated/cancelled public record, it is best to send a copy of that documentation to the CRA, such as within a dispute, forcing their reinvestigation of its actual current status.
Thank you. I will give it some time for the Lien to be deleted from the public records, then once it's gone, I will file a dispute with all 3 agencies. Hopefully this is not a long wait. This was a Lien done to me erroneously, NYS saw their error and finally admitted it was their fault and cancelled the lien. Guess now I am just playing the waiting game with this.