How To Remove Negative Credit Letters

Letters can be a valuable tool for removing negative credit information from your reports at TransUnion, Experian and Equifax. Those three credit bureaus are required to check out disputes under the Fair Credit Reporting Act and take off negative information that cannot be confirmed. Negative credit can be challenged online, but the Federal Trade Commission (FTC) advises consumers to use letters instead and to send them certified so there is proof of receipt by the bureaus. Negative credit letters should contain some important points.

Step 1

List all of the negative credit items in your letter. You can dispute as many as you wish in a single letter. The FTC recommends including a copy of your credit report with the errors highlighted or circled.

Step 2

Explain the basis of your dispute for each of the negative items in your letter. You can challenge any mistake, Credit Infocenter explains. This includes company names, account numbers, balances, dates and anything else you might find.

Step 3

List any enclosures you might be sending along with your negative credit dispute letter. The FTC recommends sending whatever you have to back up your disputes, including bills or statements, contracts, checks or receipts. Send copies rather than originals, the FTC states.

Step 4

Mention the Fair Credit Reporting Act (FCRA), which is the law that lets you dispute negative credit items. Ask for the items to be removed and explain that you know this must be done under the FCRA if the credit bureau is not able to confirm the item as correct. This shows the bureau that you know your consumer rights.

Tips and Warnings

Write separate letters to each credit bureau even if more than one is reporting the same negative credit item. The bureaus do not share dispute information so you must write individual letters to get them all to do an investigation.
The credit bureaus can refuse to investigate your negative credit letters if they believe they are irrelevant or frivolous, the cardreport.com financial website warns. The FCRA says bureaus have the right to ignore letters that appear to be written in bad faith. Make sure you have legitimate grounds for your disputes.