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How can I remove judgments from my credit report after bankruptcy?

Paterson, NJ |

How can I remove judgments from my credit report after bankruptcy?

Attorney Answers 5

Posted

Judgments cannot be removed from credit reports simply because of bankruptcy. The reporting of the judgment should be updated to include the narrative "discharged in bankruptcy" or something substantially similiar, but they will still be reported as judgments. This is why I stress to my clients to file bankruptcy, if possible, BEFORE a judgment is rendered in a matter.

Advice on this forum is for informational purposes only and should never be mistaken as a substitute for legal advice. If you are in need of legal advice, you should consult local legal counsel.

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Posted

Your credit reports should automatically update to say 'paid bankruptcy'. If they don't you can write to the reporting bureaus and request the change.

The above should not be construed as legal advise. You should make an appointment with a qualified attorney in your state to discuss the specifics of your case. Additionally, nothing in this writing should be construed as a retainer agreement. Should you wish Veitengruber Law to be your attorney, please contact us to make an appointment.

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Posted

In NJ, one year after the entry of your discharge, you can file a motion with the Superior Court to remove any pre-petition discharged judgments from the judgment record. These judgments are sometimes referred to as "zombie judgments," since the underlying debt is no longer collectible, but the judgement remains on the record/docket even after the completion of the bankruptcy.

This response is not to be construed as legal advice and is provided for educational purposes only. This response does not create an attorney/ client relationship. The response provides general legal information and education. This response does not address any specifics concerning this inquiry, as the inquiry as written may have omitted details which would make the reply unsuitable. The inquirer is strongly encouraged to consult with an attorney in his or her own state to acquire more information about this issue. Licensed to practice in New Jersey and Pennsylvania.

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Asker

Posted

so it is recommended to file after one year in order to remove these judgments from record?

Posted

After your bankruptcy discharge the creditor holding a judgment is supposed to update the reported judgment as "discharged in bankruptcy." However, the judgment is part of your credit history and will remain on your credit report for up to 7 years. If the judgment resulted in a lien against real property you own and that lien could be "stripped" because it is not supported by equity in your real property, that lien should be stripped by motion in the bankruptcy court before the completion of your bankruptcy case. If the case is completed and the lien resulting from the judgment is not stripped in the bankruptcy case, in NJ, one year after the discharge is granted in the bankruptcy court, a motion to strip off the judgment lien can be made in the State Superior Court. Understand that the bankruptcy discharge removes your obligation to pay the judgment but the lien survives the bankruptcy. If you do not strip the judgment lien, when you go to sell or refinance your real property, the Title Insurance Company is going to want that lien satisfied, or they will want a court order showing that it was "stripped off."

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Posted

I have to toss my 2cents in. this is one of the most frustrating things to me as a bankruptcy lawyer. This concern over removing old items from a credit report. First, you need to know that it is an uphill battle and letter writing campaign you have to engage in with the reporting companies… all of them individually… and each agency has to be convinced to remove the listing. Second, the far better way to use your energy is to rebuild your credit. get a single credit ares. use is sparingly and pay it off IN FULL every month. Never carry a balance and never charge excessively. If possible, get some other manageable extension of credit, such as a car loan or lease, or a rental. Again, be timely with your payments and do not miss payments. With excellent post-petition credit your score will go up. But it is a matter of time. There is no get out of mail free card. You have to be diligent and you have take the time and re-build your credit.

Best of luck to you and… Make it a Great Day!

Karina Lucid
Karina Pia Lucid, Esq., LLC
3640 Valley Road, Suite 2-A
PO Box 230
Liberty Corner, NJ 07938-0230
Tel: (908) 350-7505
Fax: (908) 350-4505
Email: klucid@karinalucidlaw.com
Web: www.karinalucidlaw.com

This answer is offered as a public service for general information only and may not be relied upon as legal advice. No attorney-client relationship is created or is intended to be created hereby.

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Jason Meyer Krumbein

Jason Meyer Krumbein

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The only qualification I would add is that communicating with the creditors is good-- it is evidence-- it does NOT form the basis of a lawsuit. One of the CRITICAL elements of the lawsuit for credit errors is that you communicated with the credit bureaus (correctly called consumer reporting agencies). Otherwise, there is no right to sue anyone for not fixing it. The addresses for the credit bureaus can be found here http://www.krumbeinlaw.com/faq/dispute-addresses/ Make sure you dispute in writing, send your disputes by certified mail, return receipt requested, and keep a copy of EVERYTHING. Good luck.

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