The Setbacks Of Having A Tax Lien On Your Credit History
- Author Kevin Lynch
- Published March 17, 2010
- Word count 525
Having a tax lien put against you that displays on your credit or against your property can really be one of the most arduous credit issues that you ever deal with. The IRS can be rather brutal when it comes to getting their money and there is a basis for the old saying about "death and taxes" because you are not apt to be able to get out of it completely without paying at least a fraction of it.
It is extremely implausible that you will be able to get out of a tax lien. The most you can hope for is that you can collaborate for a lesser amount to fulfill the tax lien. However, even after the tax lien is satisfied it could still remain on your credit report for as long as 7 years. If you never pay it, it can stay as long as 15 years and the Internal Revenue Service can restart the lien, so you could possibly have a tax lien on your credit forever if you never take steps to satisfy it.
You will most likely have to pay the tax lien off or at the very least bargain for a lesser sum. The disturbing part of it is that even after the tax lien has been fulfilled it can remain on your report for as long as 7 years. If you don’t pay it off it can stay on there for as long as 15 years. If it is not fulfilled they can also renew it so you may have a tax lien on your credit forever.
In nearly every case you are much better off to pay off the tax lien rather than fight it. You may be able to negotiate for a lesser amount and you should try to do that. However, the IRS will find you and you will most likely not be able to get away with not paying the taxes that you owe.
But when you pay off the tax lien, what can you do to get the poor listing deleted from your credit report? Well as you are negotiating with the Internal Revenue Service, you can request that they delete the lien from your credit report. It may be that easy. If not you have the right to dispute the item and you can try to get it deleted that way.
Make certain that you keep all copies of all correspondence to and from the credit bureaus. After receiving of the letter, they will have 30 to 45 days to either authenticate the truth of the listing or completely delete it. If you are not successful in getting a removal right away you may have to try again until you succeed.
Writing letters of dispute and doing other credit repair tips can be very advantageous for you and your economic life in the long run. You can do it yourself or sign up a professional but you are responsible for knowing and dealing with whatever shows on your credit report and if you need to do some credit repair, it is better to do it sooner rather than later when you need to have good credit.
To learn about credit repair and removing a tax lien from your credit visit me at 724Credit.com.
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