A goodwill letter is a request sent to a credit bureau asking them to remove negative items from your credit report that you believe are inaccurately affecting your credit score. Here’s what you need to know about whether credit bureaus accept goodwill letters and how to write an effective one.
Can goodwill letters remove late payments?
Yes, it’s possible for goodwill letters to get late payments removed from your credit report. However, there are no guarantees that the credit bureau will accept your request. Credit bureaus make decisions on a case-by-case basis.
Here are some tips for getting late payments removed with a goodwill letter:
- Make sure the late payments you want removed are at least 12 months old. Recent late payments are unlikely to be removed.
- Explain why the late payments occurred and emphasize they were out of character for you. Provide evidence if possible.
- Show you’ve had a good track record of on-time payments before and after the late payments in question.
- Be polite and gracious in your letter – don’t make demands.
Focus your goodwill letter on getting 1 or 2 late payments removed, not your entire payment history. The older and more isolated the late payments are, the better your chances.
What types of items can be removed with goodwill letters?
In addition to late payments, here are some other items you may be able to get removed from your credit report by writing goodwill letters:
- Errors – If you find any factually incorrect information on your report, point this out.
- Old defaults – Defaults over 7 years old could potentially be removed.
- Bankruptcies – Bankruptcies normally stay on your report for 7-10 years but may sometimes be deleted earlier.
- Collections – Old collection accounts, especially ones you’ve paid off, are reasonable removal requests.
Hard inquiries, charged-off accounts, and foreclosures are unlikely to be removed with a goodwill letter.
How often do credit bureaus accept goodwill letters?
Unfortunately, credit bureaus only accept a small percentage of goodwill letters. According to credit repair experts, the success rate is estimated to be between 5-15%.
However, it doesn’t hurt to try writing goodwill letters if you have negative items on your report that you feel are unfairly damaging your credit score. The worst that can happen is the credit bureau rejects your request and your report stays the same.
Do all three credit bureaus accept goodwill letters?
The three major credit bureaus – Experian, Equifax, and TransUnion – all accept goodwill letters. However, they each make independent decisions on whether to grant requests.
To maximize your chances of success, send customized goodwill letters to each bureau. Tailor your letters to the specific negative items you want removed from each credit report.
How do I write an effective goodwill letter?
Follow these tips for writing effective goodwill letters to credit bureaus:
- Address your letter to the correct department (more details below).
- Specify exactly what information you want deleted and why.
- Take responsibility for the negative item but emphasize its uncharacteristic nature.
- Present evidence of your financial responsibility before and after the negative item.
- Be concise – keep your letter under one page.
- Be polite and appreciative – don’t make demands.
Craft your letter carefully and make sure there are no grammar or spelling errors. The more professional your goodwill letter is, the better.
Where should I send my goodwill letters?
To ensure your goodwill letter gets to the right place, send it to the following addresses:
- Experian: Experian, National Consumer Assistance, P.O. Box 4500, Allen, TX 75013
- Equifax: Equifax Information Services LLC, P.O. Box 105314, Atlanta, GA 30348
- TransUnion: TransUnion LLC, Consumer Dispute Center, P.O. Box 2000, Chester, PA 19016
Include your full name, contact information, Social Security number, and date of birth so they can identify your credit file.
What documents should I include with my letter?
Any evidence you can provide to support your case will boost your chances of success. Helpful documents to include are:
- Proof of payments made to resolve the negative item, like cleared checks
- Letters attesting to your financial responsibility from landlords, employers, etc.
- Bank statements showing you manage your finances well
- Recent utility bills paid on time
Only send photocopies – never original documents. And don’t overwhelm the credit bureau with excess paperwork.
How long does it take to get a response on a goodwill letter?
Expect to wait 30-45 days to receive a written response on your goodwill letter. The credit bureaus are not known for speedy replies. If you haven’t heard back after 45 days, try contacting their customer service department.
If your request gets denied, you can file an appeal but success rates are even lower. At that point, you’re better off focusing on improving your credit over time.
Can I submit goodwill letters online?
Most credit bureaus now allow you to submit goodwill letters through their online dispute portals. This is faster and easier than sending a letter by mail. When you file your dispute online, simply select “Goodwill letter” as the dispute reason.
However, mailed letters tend to get slightly better results according to credit repair experts. Consider sending your initial letter by mail, then filing an appeal online if your request gets denied.
Conclusion
Goodwill letters provide a chance to improve your credit by removing negative items that are unfairly weighing down your score. Take the time to craft persuasive letters customized to each credit bureau. While success is not guaranteed, a compelling letter could convince them to make an exception in your case.