Judgment:

This is something I didn’t know? A judgment was placed
In 1995 against a girl who had an accident in Florida. The judge’s
Judgment was for $13,000 that the auto insurance didn’t cover. The judge also added” Post Judgment Interest”
Some months she paid more than what was necessary. In 2014
She owed $16,000.” If you pay more than the minimum each month, the amount owed can go up, and it’s legal.
This I didn't know about judgments

Pastor, what is your question?

There was interest added to the judgment. Interest adds up.

"Some months she paid more than was necessary," but I'm betting more months she paid the minimum or less.

You pay more, but they still charge you more interest. Have you heard of that before?

Many times you have to specify that you want the overpayment paid towards the principle otherwise it is paid towards the interest. Interest compounds on the principle, so you want to pay the principle down first.

Oh I see, like a mortgage payment

Oh I see, like a mortgage payment

Or a car payment. Anything that has interest really.

Paying just the minimum, like with credit cards, is a disaster, as this was. 19 years and she owes more than she started with. The sad part is that interest rates have gone way down. If she had a negotiator, I'll bet she could knock a lot of that 16K down. Provided she has records and really did make monthly payments, on time, all those years.

Thank folks. Poor girl. She has a beauty salon today. But the attorney told her
To declare bankruptcy to get out of this problem, going back to when she was a teenager.

... Some months she paid more than what was necessary. ...

No amount is "necessary". A judgment doesn't require the judgment debtor to pay anything on the judgment. Of course, if she paid less than the interest which accrued in that month, the total would go up.


... Interest compounds on the principle, so you want to pay the principle down first. ...

Incorrect. Judgments bear simple interest. And the word you want to use is "principal".