Does filing a collection defense lawsuit hurt my credit score?

When considering whether filing a collection defense lawsuit in Maryland will hurt your credit score, it is important to understand the process. When filing a collection defense lawsuit, you are disputing the validity of a debt that you owe. This said, when a collection defense lawsuit is filed, the debt collector may no longer attempt to collect on the debt while the lawsuit is ongoing. That said, filing a collection defense lawsuit does not directly affect your credit score. However, if you are able to successfully settle the debt through the lawsuit, the debt collector may report the resolution to the credit bureaus. In that case, the debt could be removed from your credit report and your score could improve. It is also important to note that even if you file a collection defense lawsuit, the debt collector can still report the negative account to the credit bureaus. That said, if the debt is later deemed valid, the collection account can remain on your credit report for up to seven years. All in all, filing a collection defense lawsuit in Maryland will not affect your credit score directly. However, the outcome of the lawsuit could potentially have an effect on your score, depending on the resolution.

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Does filing a collection defense lawsuit hurt my credit score?

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