Remove Tax Lien
If you have a tax lien being reported on your report you score is in serious trouble. You should remove this item as soon as possible.
The first step is to request validation from the bureaus. This is done through sending a dispute letter directly to each.
It is not uncommon for wrong information to be reported on your report. This is because mistakes do happen and it is as easy as dialing a wrong phone number.
Once your letter is received an investigation will occur. The bureaus will contact the government and ask them to verify your debt. If it is verified you are going to have to make payment to remove it from your report.
Depending on the amount you owe it may be in your interest to contact a tax negotiator. This is because they can often negotiate a reduced payment for you. However you can also negotiate directly with the government.
A tax lien can be collected upon for 10 years, and will stay on your report for 7 years once it is paid. If not paid then you can be reporting a tax lien on your report for a considerable amount of time.
Upon payment you should wait around 3 months and then send another dispute letter to the bureaus asking for validation. We have learned that once the government has received payment they often will ignore a bureaus request for validation.
This means your tax lien will not be verified and the bureau will erase it from your report. However if this mark is incorrect to start with you can demand proof that the account is yours, and send any documentation you have to prove your side.
Repayment
The IRS and state governments are willing to accept partial payment. It is called OIC (offer in compromise), this means you are settling your tax debt for less than the balance.
The government will look at; your ability to repay, your income, your assets, and what they expect to recover. Additionally it will help your chances of acceptance, if you attach a letter showing financial hardship.
It can help to have a tax negotiator though it is not essential.
In sum, you can remove a tax lien and should. You don't just have to wait seven years for this mark to fall off naturally.
The first step is to request validation from the bureaus. This is done through sending a dispute letter directly to each.
It is not uncommon for wrong information to be reported on your report. This is because mistakes do happen and it is as easy as dialing a wrong phone number.
Once your letter is received an investigation will occur. The bureaus will contact the government and ask them to verify your debt. If it is verified you are going to have to make payment to remove it from your report.
Depending on the amount you owe it may be in your interest to contact a tax negotiator. This is because they can often negotiate a reduced payment for you. However you can also negotiate directly with the government.
A tax lien can be collected upon for 10 years, and will stay on your report for 7 years once it is paid. If not paid then you can be reporting a tax lien on your report for a considerable amount of time.
Upon payment you should wait around 3 months and then send another dispute letter to the bureaus asking for validation. We have learned that once the government has received payment they often will ignore a bureaus request for validation.
This means your tax lien will not be verified and the bureau will erase it from your report. However if this mark is incorrect to start with you can demand proof that the account is yours, and send any documentation you have to prove your side.
Repayment
The IRS and state governments are willing to accept partial payment. It is called OIC (offer in compromise), this means you are settling your tax debt for less than the balance.
The government will look at; your ability to repay, your income, your assets, and what they expect to recover. Additionally it will help your chances of acceptance, if you attach a letter showing financial hardship.
It can help to have a tax negotiator though it is not essential.
In sum, you can remove a tax lien and should. You don't just have to wait seven years for this mark to fall off naturally.
posted by Debt Consolidation Loan at
6:17 AM
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