If Judgment Creditors Do Not Respond

When you buy, enforce, or outsource judgments, or are going to refer or sell judgment leads; you need to discover how to properly screen and handle judgment leads, especially raw judgment leads. Judgment leads can be dirt or gold depending on the judgment debtors, and even more, when you check the OJCs (Original Judgment Creditors).

When you discover and are referring raw judgment leads originating from (e.g., court records), there is not a great chance of a one raw lead making money. When you communicate with the creditors, you can verify a good judgment lead when the OJCs:

1) Wants a judgment enforced.

2) Still owns their judgment and that it is still valid.

3) Knows and agrees that they must share the potential collections.

4) Their debtor can be found, and is not poor or has filed for bankruptcy protection.

If these 4 items are true with a original judgment creditor, then you probably possess a quality lead. You could verify leads for your purposes to recover or purchase, or you could sell leads. When you sell them, the choices are pennies for each raw lead, or around five percent of what may get recovered someday. This article is my opinion and is not, legal advice. I'm a judgment referral expert, and not an attorney. If you ever want legal advice or a strategy to use, please retain an attorney.

Do not get into that trap of waiting to find large judgments on wealthy judgment debtors, these are as rare as four-leaf clovers. A $3,000 judgment on a stable debtor having a job and a bank account is much better than a 500K judgment on a homeless old person with nothing, or a long dead company with no alter-ego potential.

To enforce judgments on a future-payment contingency agreement, or run a profitable judgment referring company, you'll make a bunch more profit when you verify the OJCs. I don't mean looking OJCs up with Bing or a data service, I mean to screen the OJCs for the creditor's beliefs and attitudes about the judgment.

When the OJC thinks their judgment repayment is guaranteed, or the creditor can sell their average judgment at 50 cents on the dollar cash upfront, or doesn't agree to share a part of what's collected, they will likely not ever be repaid their judgment money.

When you buy judgments for cash up front, as long as your judgment purchase agreements are well-written, and you make sure to record assignments of judgment at a court, and you pay the creditor; you probably do not need to worry too much about loony original judgment creditors.

Whenever judgments are recovered with a future-pay basis, the cooperation of a creditor, and sometimes even the creditor's sanity, is a very important consideration. Certain OJCs do not completely understand that they are outsourcing their judgment and all judgment collection efforts, and some want status updates several times each day.

In the real world, recovery of judgment money relies on the available assets of the judgment debtor. For a successful future pay contingency collection attempt, an original judgment creditor needs to:

1) After discovering you, is done shopping the judgment.

2) Has reasonable expectations and is patient. There are no instant results and many risks with judgment recovery. Full recoveries are getting rarer.

3) Understand that they're done with the judgment, which the creditor usually assigned. After discovering you, OJCs should not contact anyone concerning that judgment, especially the debtor.

4) Be and remain reasonable. This is really important.

If the OJC does not meet those 4 requirements, there's going to be hassles and disappointment.

Raw leads are usually worth nothing. Many unenlightened original judgment creditors send judgment inquiries to hundreds of people, and a copy of their judgment to dozens of judgment entities. Most of the OJCs won't respond when you return their e-mails, send them a letter, or leave the creditor a voice mail responding to their contact.

When you contact OJCs, quite a few will assert they're interested and will follow up, yet not all do. One more problem is original judgment creditors sometimes send a copy of their judgment, yet nothing identifying their debtor. If a debtor has an unusual name, this may not become an issue; however when the debtor cannot be found, the judgment lead is worthless.

If you wish to contact each original judgment creditor 10 times, that is your choice; however I've found that people that start out being unresponsive usually remain unresponsive over the long term. In my opinion, one cannot fix what's broken, one may just repair how you react.

It is best to invest your time with the people that are reasonable and responsive, than to try to change someone that has a bad attitude, seems clueless, or is not responding. The idea is to remain friendly, and let original judgment creditors know you have the right realistic solution, and they may call you anytime they are ready for results.

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