How to Get Loan Companies to Remove Negative Items From Credit Report

Loan companies are creditors that lend money to consumers with an agreement that the money will be repaid. However, consumers often default on the agreement, which prevents the loan company from recovering the money they loaned to the customer. If the loan is paid poorly or not paid at all, the loan companies will reflect the bad credit standing with the credit reporting agencies. The poor credit remarks left on your individual credit report may affect your ability to obtain credit from other loan companies when you need it.

Instructions

1

Request a payment for deletion. If you propose this type of agreement to the loan company, it may be willing to accept a one-time payment from you, and in exchange its will remove the entire account, as well as any collection account, related to the debt from your credit file. You can obtain third party services to obtain a payment for deletion, or you may choose to draft the proposals yourself and mail them to the creditor. Upon receipt of the agreement signed by the creditor, you will need to remit payment. The credit must then remove the account from your credit file or you may send in the agreement with proof of payment to the credit report to have the loan company account removed from your credit.

2

Settle the account. You may be successful in obtaining a settlement, if you can not pay the account in full. Depending upon how recent the account is, the loan company may go ahead and remove the credit account from your file. If not, you can dispute the settlement account electronically through the credit reporting agencies. The loan company will not be able to verify you owe the debt, since you settled it, and they must remove the credit account from your file.

3

Assume payments on your account with the loan company. The company may agree to remove negative marks reported on your credit file if you assume regular payments on your loan. You will need to get an agreement in writing from the loan company and you must hold up your bargain of the agreement. If the loan company does not remove the marks, you can send in the documentation to the credit bureau agencies so that the negative marks can be removed.