How We Value a Judgment
What drives our offers — and how to make your judgment worth more.
The honest range
Most judgment purchases close at 30–65% of face value. That’s a wide range because judgment quality varies enormously. A $50,000 judgment against a business owner who has real property, an active business, and a fully litigated judgment is worth far more than a $50,000 default judgment against a defunct LLC with no known assets.
We don’t publish a rate card because every judgment is different. What we do: review yours, give you a specific number, and explain how we got there. You’ll know exactly what we’ll pay and why.
What drives the offer
Face value and accrued interest
California post-judgment interest accrues at 10% per year on the unpaid principal. A $40,000 judgment entered two years ago has a current face value of approximately $48,400. We value the current face value, not just the original principal.
Debtor collectibility
This is the dominant factor. A judgment against a ghost is worth almost nothing. A judgment against an active business with employees and real property is worth significantly more. Here’s what we look for:
- Real property ownership in California
- Active business operations with identifiable banking relationships
- Employment (for wage garnishment)
- Known addresses and identifiable assets
- Personal liability — individual on the judgment or personal guarantee
Judgment type: litigated vs. default
A default judgment — entered because the defendant didn’t respond or appear — can be challenged under CCP §473. If the debtor moves to set it aside and the court grants the motion, the judgment disappears and the buyer gets nothing.
A fully litigated judgment — both sides appeared, the merits were argued, and the court ruled — is far more durable. The debtor has exhausted their defenses. We pay more for litigated judgments because the downside risk is lower.
Age of the judgment
Older judgments carry more uncertainty. A judgment entered last year against a business that’s still operating is more valuable than one entered eight years ago against a company that’s been closed for six of those years.
Prior collection history
Prior attempts that produced useful intelligence — a bank account located, an employer identified, a business address confirmed — make enforcement cheaper and increase value. Prior attempts that came up completely empty signal a harder case.
Documentation quality
A certified copy of the judgment, an abstract of judgment already filed in the debtor’s county, and complete case records make the transaction cleaner and reduce our due diligence costs — which translates to a better offer.
Valuation FAQ
Will you tell me the offer before I have to commit to anything?
Yes. We give you a specific dollar offer before you sign anything. You have as much time as you need to decide. There’s no expiration on our offers and no pressure to accept.
Can I negotiate the offer?
You can always come back with a counteroffer or provide additional information about the debtor that affects the analysis. If there’s documentation you have that we haven’t seen, share it. Better intelligence means a better offer.
What if I think the judgment is worth more than you’re offering?
That’s fair. You should get a second opinion from another buyer if you think our offer is too low. We’d rather you sell to us because the offer is right. If you can get a better price elsewhere, you should take it.
Does it matter if the debtor has made partial payments?
Yes — the outstanding balance is what we purchase, so partial payments reduce the face value we’re working with. Tell us the current balance when you submit.
Get a specific offer on your judgment
Five-minute evaluation form. Specific dollar offer within one business day. No obligation.