How to Write a Strong Clean Credit Letter (with Samples) Use these sample clean credit letters as templates for your formal clean credit letter.
A consumer may believe that their credit report is inaccurate, and the inaccuracies are damaging their ability to use credit. In this event, it is necessary to write a clean credit letter, to remove the inaccuracies, so the credit report is clean, and the credit score will go up.
A low credit score means if the consumer does apply for a loan, they will be offered higher interest rates if they are given the loan. A higher score means lower interest rates can be offered. It is not necessary to use a credit repair company to write the letter. The Federal Trade Commission (FTC) advises consumers to write their own letters.
The first thing the consumer should do is request a free copy of their credit report. The report has data sent to the credit reporting agencies by creditors. There are three credit reporting agencies, TransUnion, Experian and Equifax that gather information in different ways, but basically collect the same information.
• The name, address, social security number, date of birth and employment information for identification • Credit accounts reported by lenders such as mortgages, credit cards, auto loan • Credit inquiries made by lenders when they want to check the viability of a consumer. Consumers can also make inquiries about their credit report • Public record information such as foreclosures, bankruptcies, wage attachments, suite, judgments and liens
Mistakes are Made
The consumer should examine this information on each of the credit reports to make sure it is correct. Mistakes are made all the time, and it is worth checking at least once a year. If there are mistakes and inaccuracies, a letter should be sent. It not considered wise to try to get clean credit by phone because the customer service department doesn’t have the authority to change a report, and the supporting documents aren’t shown.
The letter should refer to the Fair Credit Reporting Act (FCRA). The reporting agency will more likely take the consumer’s request seriously if they see he or she knows the law. This means the credit reporting agency has 30 days to check the credit report of the consumer and respond.
All documents that prove the consumer’s case should be included in the letter such as receipts for paid bills, bank statements and a copy of the credit report with the inaccuracies highlighted. The clean credit letter should be short and to the point. This is not them time to complain about mistakes. If the consumer has the proof, the credit bureau will correct the credit report.
Ask for Compassion
Consumers can also send a letter requesting the creditor exercise good will and have compassion by removing or not reporting negative information to the credit bureaus. According to the law, creditor need not remove accurate information, but if the consumer is up to date with most payments and generally has a good credit history, they can stop reporting late payment if they want. However, this requires a different kind of letter.
Below are sample clean credit letters. It should be sent by certified mail, so the consumer has proof of the time and date it was sent and received. The 30-day period for investigation begins on the date the letter was received. A letter should be sent to each credit bureau that has inaccurate information.
There should be copies of the inaccurate credit reports, with the wrong item circled with highlighter. Copies of any other documents can also be enclosed such as a receipt for proof of payment. Original documents should not be sent. The consumer should keep an exact copy of the letter and documents sent to the credit bureau.
Sample 1 - Clean Credit Letter Consumer’s Name Consumer’s Address City, State, Zip Code Name of Credit Bureau account number 123-45678-XYZ
Dear Name of Credit Bureau:
This letter is to formally inform you that there is inaccurate information on my credit report and to request that it be removed as soon as possible.
According to the Fair Credit Reporting Act (FCRA), I have the right to dispute mistakes on my credit report.
This wrong information has damaged my credit rating making it difficult or impossible for me to get an auto loan. I was shocked and embarrassed when the lender said my credit score was not good enough for them to give the loan. Since credit reporting laws require only accurate information be included on a credit report, I’m sure you will want to remove it quickly. I understand that the inclusion of wrong information is a mistake on your part or the creditors.
I have enclosed a copy of my credit report with the inaccurate information circled as well as receipts that prove the mentioned debt was paid in full.
Please remove the inaccurate information and sent me as well as my lenders a clean copy of my credit report.
Sample 2 - Clean Credit Letter Name of Consumer Last four digits of SS number 1234 Address of Consumer City, State, Zip Code
Name of Credit Bureau Address of Credit Bureau City, State, Zip Code
REF: Account or Report Number
To Whom It May Concern:
This letter is a formal dispute of the information on my credit report that my mortgage payment to Name of Lender for the month of MONTH of AMOUNT was 30 days late.
Enclosed is my cancelled check for that payment as well as my bank statements for the three months prior to the date and three months after the date. It is clearly shown in the statements that my payment was not late.
Please correct this mistake as soon as possible on my credit report and send me an updated copy when the information is correct.
Thank you for your quick attention to this matter.