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RisingAbove2013

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Judgement and garnishment Question
A judgement was issued in May 2013 for a payday loan from 2003 in the amt of $345. I found out by checking my credit. I have not received notices or anything that I owed this. I am pretty sure I paid this however i do not have any documentation from 2003 to support it. When I called the company who issued the judgement DOMINION ASSET RECOVERY I was informed that they received this debt in 2006 and have already issued a garnishment to my employer. However once again no notices to me. The final amount is over $600. I have never had a garnishment and I have worked to raise my score and clear my credit for this to come out of nowhere and tank my credit.
My questions are:
1. Is this legal as it is 10 years old?
2. Are there some statues of limitations some where?
3. Is it worth hiring a lawyer to fight it?
4. How much will this hurt my score?
Any advice would be appreciated.

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1. Is this legal as it is 10 years old?

Unfortunately contacting them without requesting a verification letter may have restarted the clock on the SOL, which means they can come after you for it. Request the verification letter in writing using certified mail. If they don't respond then you have what you need to dispute it with the CRB.

2. Are there some statues of limitations some where?

7 years is the standard on this type of debt. However, acknowledging their attempts can reset the clock and keep the collection active.

3. Is it worth hiring a lawyer to fight it?

If you can't get it resolved through the verification letter and dispute, then yes. Garnishments are nothing to mess around with. Best case scenario, it's been incorrectly reported and the information is for someone else. This is why you can dispute things on your report. Worst case, the debt is yours, you need to pay it, and it will stay on your report for 7 years.

4. How much will this hurt my score?

If it's an error then your score will definitely improve. If it's yours and you pay it then your score will improve but not nearly as much.

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