Not paying your judgment debt can have a serious effect on your credit score and personal life. For example, an unpaid judgment can stay on your credit report for up to 20 years if the creditor decides to renew it. It will appear every time you apply for a job, and when you try to rent an apartment. So it is best that all judgments be paid off. I have provided a few tips on what can happen if you don’t settle your judgment debt.

What can happen if I don’t pay the judgment debt?
The creditor (the person who owns the debt) can come after you by filing a court order directing you to appear in court to answer questions on why you have not paid the judgment. The judgment creditor can add enforcement costs to collect the judgment, add interest fees, force you to go to court and expose your assets, attach leans to your personal and real property, seize your car, access your bank account, and garnish your paycheck. They can force the sale of your property if the debt is a high amount. In addition, they can have your driver’s license or professional license suspended if the judgment was from a motor vehicle accident or work pertaining to your career.

Can the judgment follow me if I move to another state?
Yes, your judgment creditor can register the judgment in the state you moved to. More than likely the creditor won’t come after you, unless it’s an attorney that has a law firm located in the state you moved to.

Can I appeal the judgment debt?
Yes, before the judgment creditor can collect, you have a short amount of time to appeal to the judge’s decision. This strategy is good if you need more time to come up with the money.
If you get a notice that the creditor is trying to seize your income or your personal assets, file your state exemption right away. Immediacy is important because the law only allows a certain amount of time for you to file your exemption.

Concluding, paying your judgment would be the best thing for you to do, so that you avoid future problems with the creditor. If the debt is not paid, it will hang over your head for 20 years.

Mark Clayborne is a Certified Credit Consultant with ten years of experience assisting consumers with credit issues. If you liked this article, then please sign up to read the first chapter of The Credit Repair Book and get a Free Restore your Credit E-class at http://www.hiddencreditrepairsecrets.com This article may be freely reprinted or distributed in its entirety in any Ezine, newsletter, blog, or website. The author’s name, bio and website links must remain intact and be included with every reproduction.