How to Get a Tax Lien Removed from a Credit Report
If you fail to pay your taxes in time, Internal Revenue Service (IRS) will issue a tax lien and report it to all the credit bureaus. The lien becomes a part of your credit report, which means lender will be less willing to sanction you a loan when they see the tax lien in your credit report. Fortunately, there are certain ways in which you can minimise the adverse effect of a tax lien appearing in your credit report so that you can improve on your credit score more easily.
Instructions
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Pay all the taxes that you owe to the state as soon as possible. Once the IRS has received the money, it will send you a letter in the mail. This letter will be the IRS Certificate of Release of Federal Tax Lien, your key to getting the tax lien removed from your credit report. In normal circumstances, you will receive the certificate from IRS within thirty days, counting from the date you paid off the tax lien.
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Get your credit report from all three credit bureaus: Experian, Equifax and TransUnion. When the IRS mailed you the Certificate of Release of Federal Tax Lien, they would have sent a copy to the credit bureaus as well. Scan through your credit report and make sure that the status of your tax lien has been changed from ‘unpaid’ to ‘paid’. If the status in any of the three reports in still ‘unpaid’, call that particular credit bureau right away and raise the matter.
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Under normal circumstances, tax liens remains on a credit report for 7 years after they have been paid off. But that does not mean that you do not have the right to dispute the lien. Contact the three major credit reporting agencies and see if there is a possible way to get the tax lien removed from your credit report. Make sure that you attach a copy of the Certificate of Release of Federal Tax Lien in any written communications that you carry out with a credit reporting agency.
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The best way to counterbalance a tax lien is to take care of all your taxes and bills on time. If you are able to maintain a clean payments history, the lien will become less noticeable to a lenders eye which means you will have higher chances being eligible for a loan.
 will issue a tax lien and report it to all the credit bureaus. The lien becomes a part of your credit report, which means lender will be less willing to sanction you a loan when they see the tax lien in your credit report. Fortunately, there are certain ways in which you can minimise the adverse effect of a tax lien appearing in your credit report so that you can improve on your credit score more easily.Next%20stop%3A%20Pinterest "Pin It")
