Making prompt payments on your credit cards, mortgage, and other credit facilities is very important to the improvement of your credit. Payments made after a period of 30 days or more are usually reported as late payments to these three credit bureaus, namely, TransUnion, Experian, and Equifax. This, in turn, affects your credit score.
For every 30 days, you make a late payment, it piles up on your credit report as an additional negative item. At 90 days late, your credit score begins to dip. This situation gets more significant and detrimental after a period of 120 days. Having such negative items come with a long-lasting damaging effect on your credit. By then, access to various loans and credit opportunities becomes difficult.
Nevertheless, your late payment can be removed from your report via various means. Doing this will help improve your credit score and erase it from being viewed by future creditors and lenders.
How You Can Remove A Late Payment
Fortunately, you can have your late payments removed without having to wait endlessly for them to diminish on their own. In this section, we have provided various steps that will guide you towards getting rid of your late payments. You do not need to rush your way through this process. Ideally, commence with one, after which, you can move on to the next one, till you have successfully fixed your credit.
Request For A Goodwill Adjustment From Your Creditor
Sometimes, the way out of a financial quagmire is to simply make a request. It works best if you have a good payment history with your lender and a few financial issues. You may wonder how to request a goodwill adjustment. It’s quite simple.
You need to write a formal letter to your creditor. This can as well be done through the phone. However, you may not be granted a late payment deletion as most customer care representatives are not given such authorization. Hence, you need to contact a top-level manager to sort it out.
Also Read: Importance of Credit Score For Loan
A goodwill letter contains primary information like an individual’s name, contact, account number, and late payment dates. In your request letter, you need to explain your past commitment towards making prompt payments and factors that resulted in default.
Be as brief and polite as you can. Once you are done with the documentation, you can forward the letter to the creditor’s address stated on your credit report or billing statement.
Get A Credit Repair Company
Some individuals find it challenging to work out their credits personally. For this reason, hiring a credit repair company is highly recommended. There are several available companies that help sort out bad credit. They do all the heavy lifting for you at a stipulated fee. These companies work along with creditors to dispute negative items on an individual’s credit score.
Hiring a credit repair company comes with a lot of benefits. First off, they are able to handle your credit professionally, knowing how best it can be resolved. Also, they get the work done faster. In no time, you will have your credit looking great again.
There are other ways you can repair your credit:
- Automate your payment schedule.
- Crosscheck your credit report for inaccuracies.
If you would like to get help concerning your credit, please visit this link: credit repair companies.