воскресенье, 6 ноября 2016 г.

Use a Goodwill Letter To Remove Late Payments from Your Credit Report

Use a Goodwill Letter To Remove Late Payments from Your Credit Report


Use a Goodwill Letter To Remove Late Payments from Your Credit Report


Late payments can be damaging to your credit, especially if you stop paying your loans for an extended period of time. We've already gone over the repercussions of delinquency and defaulting, but today, we're going to take a look at another method of repairing your credit report.


This post originally appeared at Magnify Money.


What is a Goodwill Letter?


A \"goodwill letter\" is a simple way to repair your credit report and it can be used for both federal and private loans. The purpose of a goodwill letter is to restore your credit to good standing by having a lender or servicer erase a lateness on your credit report.


Typically, those that have experienced financial hardship due to unexpected circumstances have the most success with goodwill letters. They allow you to take responsibility for your actions and to ask (in a very nice way) if your student loan servicer can empathize with the situation that caused the lateness, and erase it from your report.


It can also be used when you think the late payment is an error – for example, if you were in deferment or forbearance during the time of the late payment, and weren't required to make any payments during that time, or if you know you've never been late on a payment before.


What Makes a Convincing Goodwill Letter?


If you've been looking for a goodwill letter that will actually work, we have some tips on what you should include in your letter.


An appreciative tone


It's important that the entire tone of your letter read as thankful and conscientious. If you were actually late on your payments due to extenuating circumstances, you shouldn't take an angry tone in your letter, since you were in the wrong.


Take responsibility


You want to be convincing and honest. Take responsibility for the late payment, and explain why it happened. They need to be able to sympathize with you. Saying you just forgot isn't going to win you any points.


A good recent payment history


Besides sympathy, you want to gain their trust as far as continuing to make payments goes. If your lender sees payments being made on time before and after the period of financial hardship, they might be more willing to give you a break. When you have a pattern of late payments, it's more difficult to convince them that you're taking this seriously.


Proof of any errors and relevant documents


If you're writing about a mistake that occurred, still be friendly in tone, but back up the errors with documentation. You'll need proof that what you're saying is true. Unfortunately, errors are often made on credit reports, and it may have been a clerical error on behalf of your servicer. If you have any written correspondence with them, you'll want to include it.


Simple and to the point


The last thing to keep in mind is to craft a short and simple letter. Get straight to the point while telling your story. The people reviewing your letter don't want to read an essay, and the easier you make their lives, the better.


A Sample Goodwill Letter


Below is a sample Goodwill Letter template for student loans:


To Whom It May Concern,


Thank you for taking the time out of your day to read this letter. I just pulled my credit report, and discovered that a late payment was reported on [date] for my account [loan account number].


During that time, my mother fell terminally ill, and I was the only one left to care for her. As such, I had to leave my job, and my savings went toward her healthcare expenses. I fell on very rough times after she passed away, and was unable to make my student loan payments.


I realize I made a mistake in falling behind, but up until that point, my payment history with you had been spotless. When I was able to gain employment once again, I quickly resumed paying my student loans, making them a priority.


I'm not proud of this black mark on my record, but it's the only one I have, and I would be extremely grateful if you could honor this request to remove the lateness from my credit report. It would help me immensely in securing other lines of credit so that I can further improve my credit score.


If the lateness cannot be removed entirely, I would still be appreciative if you could make a goodwill adjustment.


Thank You.


If you're writing a letter because the lateness on your credit report is inaccurate, then try this letter:


To Whom It May Concern,


Thank you for taking the time to read this letter. I recently pulled my credit report and found that [Loan servicer] reported a late payment regarding my account [loan account number].


I am requesting that this late payment be assessed for accuracy.


I believe this reporting is incorrect because [list the supporting facts you have]. I have included the documentation to prove that I made payments during this time / that my loans were in forbearance/deferment and didn't require any payments.


Please investigate this matter, and if it is found to be inaccurate, remove the lateness from my credit report.


Thank You.


Make sure you delete the scenarios that don't apply to you; you want to provide as many personal details as possible. You should also include your name, address, and phone number at the top of the letter, in case your loan servicer needs to reach you immediately.


Where to Send Your Goodwill Letter


Now that your letter is written, you have to send it! This can be done either by fax or by mail. Most student loan servicers have their contact information on their website, but you can also look on your billing statements to see if they specify a different address.


Additionally, you can try calling the credit bureau the lateness was reported to, and see if they can give you the contact information you need.


It's important to mention that goodwill letters are not a means to immediate success. It often takes several attempts to correspond with servicers and lenders to get them to acknowledge that they received a letter from you.


Your best bet is to get a personal contact at the company that has the power to erase the late payment from your credit report.


If all else fails, try as many different communication methods as possible. Call, mail, fax, live chat (if your servicer offers it), and email them. Several people who have tried this method report that it's possible to wear your servicer down with a decent amount of requests.


Addresses and Fax Numbers to Try


These addresses and fax numbers were found on the servicer websites directly. Again, it's worth it to try and call your servicer to get the name of someone there that can help you.


Nelnet


Documents related to deferment, forbearance, repayment plans, or enrollment status changes:


Attn: Enrollment Processing


P.O. Box 82565


Lincoln, NE 68501-2565


Fax: 866-545-9196


My Great Lakes


Great Lakes


P.O. Box 7860


Madison, WI 53707-7860


Fax: 800-375-5288


Sallie Mae


Correspondence Address


Sallie Mae


P.O. Box 3319


Wilmington, DE 19804-4319


Fax: 855-756-0011


Documents to Include With Your Goodwill Letter


Don't let your efforts go to waste by forgetting to include documentation with your letter. Here's a quick checklist of what you should include:


The account number for your loan


Your name, address, phone number, and email


Statements showing proof that you paid (if you're disputing a late payment)


Documentation showing that you've paid on time at all other points aside from when you experienced financial hardship


Identifying documentation so your servicer knows you sent the request


Not necessarily something to \"include\", but if you're mailing anything, you should send it by certified mail with a receipt requested, this way you'll know if your letter made it.


Resources


If you're interested in exploring goodwill letters further, and the results that others have had, check out these websites:


ed.gov: They cover disputes, what to do about them, and how to go about rectifying them here.


gov: If you have loans with a private lender, and your lender has reported you as late when you weren't, you can file a complaint with the CFPB to see if they can help you.


myFico Forums: The forums on myFico are populated with helpful individuals that might be able to give you contact information for certain servicers. There are some people reporting success with goodwill letters, and they are willing to share the letter with others upon request.


If you've discovered that a late payment has been reported on your credit, and it's because you fell on hard times, or is inaccurate, it's worth trying to get it erased. These dings on your credit are there to stay for 7-10 years. That's a long time, especially if you're young and hoping to buy a house or a car in the near future. It's a battle worth fighting


Original article and pictures take http://twocents.lifehacker.com/use-a-goodwill-letter-to-remove-late-payments-from-your-1680276221 site

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