Can I Get Late Payments Removed From My Credit?

Late payments on credit reports can significantly impact an individual’s financial standing, leading to higher interest rates or difficulty securing future loans. While these negative marks generally remain on a credit report for up to seven years, they might be removed or adjusted. Understanding strategies for addressing late payments is important for maintaining a healthy credit profile. The approach depends on whether the late payment is accurate or the result of an error.

Requesting Removal of Accurate Late Payments

When a late payment is accurately reported, direct removal is generally not possible. Consumers can explore strategies to request a discretionary removal. One common approach is sending a goodwill letter to the creditor. This letter requests the creditor to remove the negative mark as a gesture of goodwill, especially if the late payment was an isolated incident, due to extenuating circumstances, or if the account has a strong, long-standing positive payment history.

A goodwill letter should include the account number, the specific date of the late payment, a brief and polite explanation of the circumstances that led to the delay, and a clear request for its removal. Creditors are not obligated to grant these requests, and success is at their discretion, especially if the account has been brought current. They are more likely to consider such requests if the payment history is otherwise excellent and the late payment was a rare occurrence, perhaps due to a one-time event like a medical emergency or an auto-payment mix-up.

Another less common strategy is a “pay-for-delete” agreement, primarily applicable to collection accounts, where a consumer offers to pay an outstanding debt in exchange for the creditor or collection agency removing the negative mark from their credit report. This practice is not officially endorsed by credit bureaus and operates in a legal grey area, as credit reporting is meant to be accurate. If pursuing this, obtain the agreement in writing from the creditor or collection agency before making any payment, as there is no guarantee they will follow through or that credit bureaus will honor the deletion. Before attempting either method, gather information such as account numbers, the exact dates of the late payments, and detailed records of your payment history with the creditor.

Disputing Inaccurate Late Payments

If a late payment appears on your credit report due to an error, you have the right to dispute it. Common grounds for disputing an inaccurate late payment include a payment being made on time but misreported, identity theft leading to an account not opened by you, or incorrect balances. The Fair Credit Reporting Act (FCRA) provides the framework for these disputes, ensuring that credit reporting agencies maintain accurate information.

To initiate a dispute, gather evidence supporting your claim. This documentation might include bank statements, cancelled checks, payment confirmations, or police reports if identity theft is involved. Next, contact the three major credit bureaus—Experian, Equifax, and TransUnion—where the inaccuracy appears. Each bureau offers online dispute portals, mail addresses, and phone numbers for submitting disputes. It is advisable to dispute with each bureau separately if the error appears on multiple reports.

Your dispute should clearly state the specific error, provide the account number, and include copies of all supporting documentation. While disputing with the credit bureaus, also contact the original creditor or data furnisher.

Following Up on Your Request

After submitting a goodwill request, a pay-for-delete attempt, or a formal dispute, monitoring your credit reports for updates is the next step. You can obtain free copies of your credit reports annually from each of the three major credit bureaus through AnnualCreditReport.com. Regularly checking these reports allows you to confirm whether the late payment has been removed or adjusted.

For disputes filed under the Fair Credit Reporting Act, credit bureaus have 30 days to investigate the claim and notify you of their findings. This period can extend to 45 days if additional information is provided during the investigation. If you filed an online dispute, you may receive email updates on its status. If the initial attempt to remove or correct the late payment is unsuccessful, you can consider re-disputing the item, especially if you have new or stronger evidence. You can also contact consumer protection agencies.