The credit bureaus will suppress much of the lien and judgment records from the credit report which they estimate will impact 8.9% of consumer reports (19.5 million consumers).
The national BLJ (bankruptcy, lien and judgment) report identifies civil court records on individuals including bankruptcy filings, tax liens, as well as collections and judgments from more than 3,600 jurisdictions including small claims, municipal, county, state and federal courts. The report provides information on the debtor, plaintiff, amounts, dates, amendments and releases.
The report searches the national court records using the person's name (first, middle and last) to identify the number of potential records and then filters those by the persons, address, and their social security number (bankruptcy only). Since lien and judgment records do not include the SSN, the national search with a 4-point match on name and address provides the surest way to ensure no missed records while minimizing the chance of a false positive.
In short, the new implementations, which are meant to protect consumers, mean judgements, liens, and bankruptcies might not show up on an individual's credit report if there are discrepancies in information used to identify a person. Also, these items will not show up on credit reports unless:
-Medical records have completed a 180-day waiting period to ensure all payments have been made and all insurance credits have been accounted for.
-There is consistency among the bureaus with regard to how an item is reported
-All authorized users reported by data furnishers have a date of birth included on the reporting
-The item reported, like a traffic ticket, does not include an agreement to pay (signed by the user). These items will no longer be included.
More information can be found by visiting nationalconsumerassistanceplan.com
CIC Credit will be able to provide supplemental reports (like the one included) that can be appended to all credit reports starting June 26th ahead of the July 1st change.
