How does a judgement effect current cc's?

Anonymous · ‎11-26-2007

I have a pending judgement that, tentatively, will be entered next week. It's a debt from a previous marriage (ex filed bankruptcy). I'm agreeing to monthly payments on a portion of the balance as I don't have enough funds to pay it off ($16,000). I have three cc's that are in good standing, always paid on time, more than minimum payment, paid off monthly, etc. I've had these cards for two to three years and have raised my credit score by 139 points in that time. How will this judgement effect my current cc's and scores?

fused · ‎11-26-2007

What are your current FICO scores? Do you have any bad stuff on your reports? If yes, how old are they? As for your other CCs, it's possible that you might get rate jacked or have your credit limits decreased. It really depends on the credit card company though.

Anonymous · ‎11-26-2007

My scores range from 626 to 635. There's a few negative items (missed/late payments, a charge-off) that were on now closed, joint accounts with the ex. They're about four years old.

fused · ‎11-26-2007

A new judgment is a serious derog and it will have a major impact on your scores for a couple of years. Exactly how much is hard to say but I would guess your scores will be dropping into the 500's. Sorry!

Red1Blue · ‎11-27-2007

Can you talk to the creditior and see if they agree to make a payment arrangment with out judgement. That way you dont have to have judgment reported on your CR. In the legal world and with negotiation any thing is possible. Talk to your creditor and explain your side and also tell them you are willing to make the payments. They might listen to you, if you ask. Fresh judgement can be very detrimental to your credit.

Anonymous · ‎11-27-2007

double check SOL on the debt... I am assuming either joint account or ex wa an AU - is it still reporting on your CRs?

If it was an individual account then ex is solely responsible.

Anonymous · ‎11-27-2007

fused wrote:
A new judgment is a serious derog and it will have a major impact on your scores for a couple of years. Exactly how much is hard to say but I would guess your scores will be dropping into the 500's. Sorry!

Every account I've ever seen at amex with a major derog is at the most in the high 500s. With multiples, I usually see about 490 something.

fused · ‎11-27-2007

TheCynicalOne wrote:

fused wrote:

A new judgment is a serious derog and it will have a major impact on your scores for a couple of years. Exactly how much is hard to say but I would guess your scores will be dropping into the 500's. Sorry!

Every account I've ever seen at amex with a major derog is at the most in the high 500s. With multiples, I usually see about 490 something.

Are you saying you work for Amex?

PayYouNever · ‎11-27-2007

yes, I'd like to know if you worked at AMEX too?

Anonymous · ‎11-27-2007

fused wrote:

TheCynicalOne wrote:

fused wrote:
A new judgment is a serious derog and it will have a major impact on your scores for a couple of years. Exactly how much is hard to say but I would guess your scores will be dropping into the 500's. Sorry!

Every account I've ever seen at amex with a major derog is at the most in the high 500s. With multiples, I usually see about 490 something.

Are you saying you work for Amex?

shhhh...bashers will get me...

but yes.