06 Feb Breaking Chains: The Journey to Judgement-Free Living

As of 2021, more than 10 million South Africans have impaired credit records, says BusinessLIVE. Having a negative credit record can impair your ability to take out loans, find rental options, and get reasonable insurance premiums. Unsurprisingly, a judgment on your credit record significantly lowers your credit score, depending on the severity and age of the judgment. Newer judgments have a larger impact than older ones, and larger judgments have a bigger effect than smaller ones. How do you break the chains of having a judgment on your credit record? This article serves as a guide to navigating the journey of credit report repair and breaking free from negative judgements.

Sometimes, South Africans feel shame and self-blame about low credit records. Negative credit reports don’t define your worth and are often due to circumstances beyond your control, like financial restraints, insurmountable debt, or job loss. However, taking charge of your credit score is crucial to regaining financial freedom. 

How to remove judgment from your credit report

Unfortunately, there is no quick fix to removing judgments from your credit score. Judgments stay on your credit records for 5 years from the date it was initiated unless rescinded by the court for full payment of inaccuracy. Luckily, there are steps you can take to lessen its impact on your credit record and perhaps even shorten its stay.

1. Settle your debt

It’s integral that you pay your debt in full and attain a credit clearance certificate. Once the creditors have given the okay that you’ve completely repaired your debt, they have 7 days to update the credit bureaus reflecting the settled status. While the judgment remains listed, its severity on your score decreases significantly.

2. Consider Negotiation

If full payment isn’t possible for you, you may be able to negotiate a settlement agreement with your respective creditors. You might just be able to reduce the amount, lessening your financial burden.

3. Dispute credit report errors

Disputing errors (like incorrect dates, amounts, or creditor information) is important, as incorrect information can lower your score and make disputing judgments that much more tricky. TransUnion (ITC) provides dispute forms and instructions online.

4. When your debt is fully paid up, contact the bureaus

After you’ve completed debt clearance, it’s time to get the bureaus involved. They’ll be able to remove judgment from your credit record, increasing your credit score by a fair amount.

5. Get professional help

It’s a good idea to commission professional help. Legal professionals like Cape Town Legal Consultants will negotiate and communicate with creditors on your behalf, reducing uncertainty around your situation.

Contact Cape Town Legal Consultants for help with judgment removal today.