Post # 1
So here’s the background. I was irresponsible as a teenager with two credit cards. Capital One and Citibank. Citibank has since been paid off but I’m still paying off Capital One. I’m 26 now.
In 2009, I received a judgment against me for not paying Capital One. My account was sent to a lawyer’s office. I now mail money order payments to that lawyer every month.
I actually started making payments toward Capital One in early 2013. You may be wondering why so late? Well, it was a combination of me not realizing that I really needed to fix my credit and plus I was not really in a good financial position to start making payments.
But a year ago, I got serious about trying to repair my credit. So I called the lawyer and set up a payment plan. When I started in January 2013, I owed about $1,900.
As of January 21st, 2014, I now owe $1,210!
I am so excited about making a dent in my credit card debt! Once I pay this off, the only debt I will have left is my student loans and my car loan. And I have never missed a payment or been late on my student loans and car loan.
Anyway. I’ve gotten a little off track here.
I have heard that judgments fall off your credit report after seven years. So the judgment was in 2009 and it should fall off my report by 2016, right? Or will it fall off after I make my very last payment?
Also, I live in Georgia, if that matters. I’m not sure if the laws vary in each state or what.
So should I expect my judgment to fall off my report in 2016? Or will it fall off seven years after my last payment?
Post # 3
Grrr. Can’t seem to fix the spacing issue in my OP. Sorry! :/
Post # 4
@LadyBlackheart: I *think* since you’ve made payments to the account the 7 years has reset itself. But if you pay off the lawyer you can negotiate to have it taken off your credit report.
Post # 5
@LuvMySailor: Sigh. I hope you’re right! I definitely want that taken off my credit report ASAP.
Does anyone else have any input to offer?
Post # 6
I’m pretty sure it’s once the case is closed (aka paid out). Can you make bigger payments? By my math you’ve only been paying about $60/month. Just $20 more a month ($5/week!) would mean that you’re only paying for 15 more months instead of 20. Or, sometimes theyll cut you a deal if you pay in full. Do you have tax return money you could use?
Post # 7
@StL.Ashley: You’re close, I’ve been paying $50 per month. I started out paying $100 at first but my expenses went up so I had to dial it back down to $50 per month.
I do have a tax refund coming of about $900, including both federal and state. But I am having to use some of that to pay bills for March.
I definitely plan on using some of my refund to put towards this debt but I’m just not sure how much. I want to keep some money in savings so I have to figure out how much I want to put towards this judgment.
Post # 8
Even if you pay off the account, it will still show up on your credit report and can up to 10 years but generally speaking, it will fall off after 7 years of being closed.
Post # 9
I’m pretty sure as PP’s said you have 7 years after it’s closed and paid (or written off). I”m sorry 😐
But I can tell you this about creditors, because I’ve had a LOT of things go to them, I made the same mistakes you did but like 10 fold. They pay like 10 cents on the dollar for those accounts, and thenthey make their money by charging you for your full balance, and sometimes interest on top of it. I once had 20.00 in bad checks to Starbucks become FOUR HUNDRED!?
So I’d call the lawyer up and offer him half of what you owe, in cash. Even if you can’t put any of your tax return in savings, you are better to pay that stupid thing and get it closed up, and THEN start putting that 50 bucks a month you’ve been paying him, into savings, than to continue to pay a lawyer a payment plan. The sooner things get closed the sooner your score can start improving.