A court judgment is when a provider takes legal action on an account. If there are a few months of missed payments, the provider can take legal action demanding payments.

If the court decides in favour of the provider, the judgment gets added to your credit report. A judgment can stay on your credit report for 5 years. Once the judgment has been paid up it can be removed from the credit report.

Other legal actions can also be put in place to assist in ways for you to deal with debts you can’t pay. These arrangements such as debt reviews, sequestration and administration could cause your score to drop.

After 2 years it will have less of an impact on your credit score.

What to do if you have a judgment or legal action on your credit report

Try to make the agreed repayment issued by the court. Once paid in full, you can go to the court where the judgment was issued and request it to be removed.