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What is the quickest way to remove a credit damage from your credit report?

Would lenders accept an explanation letter satisfactory? by sanjay395 from Alhambra, California. Jul 11th 2016 Reply


Larry Gray (lgray_312_247)
#562 ranked lender in California - 1,127 contributions

In some cases a letter of explanation can be sufficient to the lender, yes.More specific information may be required to make a determination on what the quickest way to actually remove credit damage if it does hurt your chances of getting a mortgage loan, even with a letter of explanation. In working with many borrowers over the years who have various credit report issues to improve on and/or resolve, I find certain items to focus on first so that you might number them 1 to what not in level of importance. I also often do what we call a credit rapid rescore which besides the implication we are looking to get an increased credit score for you, we use as a tool to resolve certain credit disputes and issues. However, you can sometimes contact the bureau or bureaus that are reporting a derogatory credit line and successfully get them to remove one or more of them. However, simply disputing something because you would like them to remove the item is often not sufficient, and can be to your detriment in that it may take time to get the dispute removed per requirement that any lender would have...before you could proceed with a mortgage loan.

Jul 11th 2016
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Sara Deere (SARAinMO)
#1 ranked lender in Kansas - 501 contributions

Follow the steps provided online or by calling each of the bureaus that are reporting the wrong information in regards to a creditor or creditors. Provide the exact documentation that shows the error versus correct information to each of the bureaus.

Jul 11th 2016
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William J Acres (William_Acres)
#2 ranked lender in Arizona - 7,917 contributions

More info needed, but in general, items will fall off as time goes on.. Late payments, charge off's, collections, foreclosures, BK's all will stay on your report for 7 years.. but the start date can vary.. but typically, it goes by the date of last activity.. You can also contact a credit restoration company and see what they can do to help you get things removed sooner, but there's no guarantee bad items will actually go away.. if you have good credit scores and only one or two bad items, then a letter of explanation might be acceptable.. If you want to know for sure, the you should contact a LOCAL mortgage broker and apply with them. Once they see your complete loan profile, they will be better equipped to advise you properly. Also, by applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with many lenders with each one offering a different type of lending program. This is unlike the local bank which typically only has a few lending programs. The more lenders, the more lending options, and the more likely your scenario will be accepted.. Plus, the broker is experienced in seeking out the best loan terms for your particular scenario, and he has lower overhead which typically results in lower rates and fees than most of the larger lenders.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347

Jul 11th 2016
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Scott Fix (ScottFix)
#1328 ranked lender in California - 184 contributions

Great Question. Unfortunately, many people look at their credit issues when they need much needed credit scores and stability. The question of how to do it, what will actually come off etc is a concern to all people looking for some credit restoration. Many individuals are surprised that it is not impossible to have many items removed, but it should be done correctly. Some credit repair "businesses" do not follow guidelines to have items removed, but they are temporarily removed and re-appear months later. Best to go through a reputable, low cost, month-to-month alternative with a good track record. Try Matthew Mincks at http://www.xperiacredit.com/ They do a fine job. In my opinion, doing it yourself, unless you have the time and experience is not worth the hassle. All the best, Scott.

Jul 11th 2016
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,515 contributions

I've been lending for 25-years. Lenders do NOT accept explanation letters for credit issues. You need to get those items fixed on your credit report. You should contact the original creditor first. Failing that, dispute directly with the credit bureaus. Do not bother applying for a home loan until everything has been corrected to the best of your ability.

Jul 12th 2016
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