Verified Collections Expert
Learn the pros & cons of writing a judgment proof letter & what it means for your credit. Find out how disputing errors is the best way to help your credit.
If you're facing a judgment and can't pay, it can feel like you don't have many options. Luckily, one option is writing a judgment proof letter. Another option? Disputing inaccuracies (& boosting your credit score) w/help from a credit repair expert like Credit Glory.
What is a judgment proof letter?
Having a judgment against you if you're on a fixed income is scary. Ignoring it isn't an option. Otherwise, you can face serious damage to your credit. So what can you do?
Fortunately, writing a judgment proof letter is an option. Even if you can't pay back a debt, a judgment proof letter helps protect your assets from being seized.
When can you send a judgment proof letter?
Being unable to pay a debt is bad news — especially for your credit. You could face liens or even bankruptcy. Not good! Luckily a judgment proof letter prevents creditors from seizing your assets. How do you know if you're eligible? You can send a judgment proof letter if:
- You're receiving government benefits like Social Security or State Disability
- You have limited personal property
- You get income from an exempted source
What to include
A judgment proof letter protects you (& your credit) from nasty things like liens & bankruptcy. To make sure your judgment proof letter is effective be sure to include:
- Your full legal name and address
- State you are exercising your rights under the FDCPA
- Provide evidence you are eligible for judgment proof status
Pros & cons of judgment proof letters
Using a judgment proof letter to protect your credit is one way to keep your score from tanking. Like everything, there are pros and cons to judgment proof letters.
- It's easy to do - Writing a judgment proof letter is easy and can be done quickly. You can even find templates online to help you get started.
- Avoid sliding further into debt - Having your assets seized is bad news for your credit. You can face liens, foreclosures, or bankruptcy. Luckily, a judgment proof letter prevents this from happening.
- Minimize impact on credit score - Having negative items on your credit report can mean the difference between having good credit or poor credit. Successfully removing them with a pay for delete letter can boost your score.
- The debt doesn't go away - While judgment proof letters prevent creditors from seizing assets, the debt doesn't go away. In fact, the only way to discharge debt is through bankruptcy. That can take your credit score (& impact it for a long time).
- There are more effective methods - Judgment proof letters only prevent creditors from seizing assets. They don't remove inaccurate debts (or boost your credit score). The easiest way to do that is teaming up with a credit repair pro like Credit Glory.
So should you write a judgment proof letter?
Writing and sending a judgment proof letter is an option for protecting your credit. However, it doesn't help build it or boost your score. Identifying and disputing errors on your credit report is often a more effective way to improve your credit. And it's even easier with help from an experienced credit repair company (like Credit Glory).
Start building better credit today w/help from Credit Glory
Disputing negative items on your credit report is hard work! It takes a lot of time, effort, organization, and follow up. The good news? Our team of credit repair professionals is here to simplify everything! Let your dedicated credit repair expert relieve you of the stress, hassle, and time needed to fight your inaccuracies and boost your credit score (FAST!)
Credit Glory is a credit repair company that empowers consumers with the opportunity and knowledge to reach their financial dreams in 2021 and beyond.
Call us at (855) 938-3044 or set up a consultation to get started, today!