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Business debt - judgment questions


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If your business credit card is charged off (i am self-employed business was an S-Corp), what happens if a judgment is then gotten against you?

Does it go on your business credit report and/or your personal credit report? Or just your business credit report? Can they put a lien on personal property? Can they put a lien on business property?

thanks

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Most business accounts require a personal guarantor. As such, any derogatory inforrmation about the account would be listed on your personal credit report. The creditor would be able to sue you personally, and if they obtain a judgment and have it recorded twice (standard for FL) the judgment would attach to any real property in your name. Other state's laws/procedures may vary.

Most likely, the account would also be listed on your business CR. But those are rarely accessed or used...

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Due to the fact that you stated there was a judgment against you, personally, it sounds like you signed a personal guarantee or they sued you personally and you defaulted.

If the judgment is against you personally, it will show up on your credit report. If it is against you and the corporation as joint debtors, then it will show up on your report because you are jointly and severably liable. That means you each owe the full amount. (even though the creditor can only collect the face amount of the judgment)

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