Your Creditors Can Take You to Court
Judgments Damage Your Credit for Years
Avoid Judgments with Debt Settlement
How Debt Settlement Protects Your Credit Score
- Settling debt for less than owed prevents any potential lawsuits or judgments. Your credit report shows the account as “paid in full”, rather than derogatory statuses like “charged off” or “past due”.
- Over time, having accounts reflect as paid or settled will gradually improve your credit score. This looks far better than a long list of delinquent accounts.
Get Your Finances Back on Track
Act now by contacting a reputable debt settlement company. They have experience negotiating with creditors for reduced payoffs. It’s an affordable path to resolving your debts before judgments create lasting damage.
Frequently Asked Questions
Yes, if you fall far enough behind, creditors have the legal right to take you to court over the debt. If they win a judgment, it can lead to wage garnishment, bank account levies, and liens on your property.
Judgments can stay on your credit report for up to 10 years in some states. Even after paid, they continue to negatively impact your credit score for 7 years.
Debt settlement itself doesn’t hurt your credit, since the process happens outside of credit reporting. Once accounts are settled, they’ll show as paid in full, which is better than negative statuses like collections or charge-offs.