Things You'll Need:
- Copy of credit report showing lien
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Step 1
Verify that the lien exists on the most current copy of your credit report. Visit AnnualCreditReport.com to obtain a free copy of your credit report.
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Step 2
Determine the reason for the lien. You can contact the IRS to determine the source of the lien. In most cases, federal liens are tax-related.
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Step 3
Provide evidence that shows the lien has been paid, if applicable. In order to release a lien that has been satisfied, you'll need an official Discharge of Lien as provided by the federal government.
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Step 4
Ask the IRS for an official payoff quote for your tax lien. This letter should contain the total amount required to pay the lien in full. It should have a per diem and an expiration date.
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Step 5
Pay the lien in full. Verify that the transaction went through with the IRS. Ask for a Discharge of Lien letter.
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Step 6
Make several copies of the Discharge for your records. Send a copy of the Discharge of Lien to all three credit bureaus---TransUnion, Experian, and Equifax.
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Step 7
Wait at least four weeks. Follow-up with the credit bureaus to make sure they have received the Discharge of Lien letter and that they are updating your credit file.
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Step 8
Bring the original Discharge of Lien to your local Registry of Deeds. Even though the lien showed up on your credit report, it may also be on your property. You'll want to record the Discharge of Lien as proof of payment.
