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derrickog

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Does paying off an old judgment renew it on my credit reports?
The debt collection attorney has recently filed for bankruptcy. This will fall off my credit report in one year, but will remain an active judgment for 4 more years, possibly 14 if they renew. Some people told me that this is great news, since they are bankrupt, then they will not come after the judgement. However, I believe that my judgement can be sold to another company that will pursue it aggressively.

I live in Texas, so everything but my bank accounts are protected from garnishment/seizure, but I want to buy a house in the future and do not want to wait 14 years to do so.

If I find some way of contacting this now defunct attorney, or the trustee handling his bankruptcy, and I manage to pay the debt. Will it renew on my credit reports for another 7 years? That is my main concern.

A secondary question I would ask is, if I let it fall off my credit report next year, then proceed to pay if off, will it reappear on my credit report?

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I would pay it and save yourself possible headaches in the future. They cannot start over the credit reporting time period. Just don't enter into payment arrangements, pay it in one lump sum. You could ask for them to delete the info from your credit reports in exchange for your payment, but I would not count on them agreeing to it, but would be worth a try. I know you have added protection as a consumer in Texas, you may want to research that fully, but in many states, companies can continue to renew judgements if you do not pay them. You can also bet that the debt will be sold and someone will come looking for the money.

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