How to remove negative items from your credit report
It can be frustrating to check your credit score only to find that it's not quite as high as you had hoped. In these cases, you likely have negative items on your credit report.
The good news is, though, that you may be able to remove negative items from your credit report — and it can be a good idea to do so. After all, your credit score typically plays a significant role in your ability to access loans and can also impact your ability to secure a new job or rent an apartment.
So, it generally makes sense to dispute and remove items that aren't reported fairly on your credit report. But how do you do that?
Get in touch with a credit repair expert now.
How to remove negative items from your credit report
"Among many other things, a strong credit score will help you get the best interest rate on a new vehicle loan, obtain a good rate on car insurance and even establish a beneficial interest rate on a mortgage," says Dawn-Marie Joseph, founder of Estate Planning & Preservation.
Lenders typically "reward you with better terms and a lower interest rate" when you have good credit, says Brandon Robinson, president and founder of the financial planning firm JBR Associates. "If you are looking for a new job, your credit score can be checked to make sure you are responsible."
If negative items on your credit report are holding you back, here are some things you can do to remove them:
Get in touch with a credit repair professional
One way to remove negative items from your credit report is to reach out to a credit repair professional. These professionals usually know the ins and outs of the Fair Credit Reporting Act (FCRA), the Fair Debt Collection Practices Act (FDCPA) and other regulations related to debt collection and fair debt reporting to credit bureaus.
With in-depth knowledge of collections and credit reporting, credit repair professionals can typically spot opportunities to remove negative items more efficiently than the average person. And, they generally know the proper avenues to take to dispute those items when there are opportunities to do so.
Find out how Sky Blue Credit Repair may be able to help you improve your credit now.
Pay your debts off
If your negative items are debts that you legitimately owe, your best option to remove them and improve your credit score may be to pay your debts off. If you can't afford to do so immediately, don't worry. You may not have to.
To find out your options, you may want to reach out to a debt relief professional to talk about credit card debt management or credit card debt forgiveness. Both of these programs may give you a viable option to pay your debts off quickly and affordably — leading to the potential removal of negative items from your credit report.
Dispute mistakes
Credit report errors are common and the frequency of these errors is climbing. Of course, you have the right to a fair and accurate credit report. So, when you find mistakes in yours, it's important to dispute them. According to the Consumer Financial Protection Bureau (CFPB), some of the most common errors include:
- Identity errors: These errors include the wrong name, phone number or address. They may also include accounts belonging to a person with a similar name or accounts that were created as the result of identity theft.
- Account status errors: These errors may include closed accounts that are reported as open, reports that you're an account owner when you're just an authorized user and accounts incorrectly reported as late or delinquent.
- Data management errors: These errors typically include incorrect balances or credit limits.
The good news is that it's generally easy to dispute inaccurate information. You can do so online with all three major credit reporting agencies (Equifax, Experian and TransUnion).
Request a "goodwill deletion"
Even if you admit to the negative action that's being reported by the credit reporting agencies, you may be able to get the item deleted from your credit report by requesting a "goodwill deletion." This is particularly useful if you have a single late or missed payment on a long-standing account.
Simply write a letter to your creditor to explain why you made the late or missed the payment and take responsibility for it. In the letter, it may help to point out that you have previously made consistently on-time payments and plan to continue that payment pattern.
Then, ask the creditor to remove the negative item. If they agree to do so, the negative item will subsequently be removed from your credit report.
The bottom line
If you have negative items on your credit report, you may find it challenging to access a loan with favorable terms or to get a new job in some sectors. However, you may not have to deal with negative items on your credit for very long. Consider the options above to remove these items from your credit report as quickly as possible.
