Credit Collections - Remove Bad Credit From Your Credit Report
You must dispute a collection, to remove it from your credit report. This dispute needs to be filed with the credit bureaus.
You will have to create a dispute letter and send it to each credit bureau. In your letter you have to say what mark you are disputing and give a reason as to why that mark is inaccurate.
Then a copy of this letter must be sent to each credit bureau. When the bureaus receive your letter and deem it valid they will investigate the disputed mark.
It is common for investigations to result in the deletion of a mark. This is because most lenders and collection agencies are unwilling to spend the resources verifying uncollectible debts.
If your dispute is verified then having a credit repair service can be very beneficial. They can use advanced dispute techniques to remove a bad credit item. These techniques include; debt validation, escalated dispute information requests, and creditor direct intervention.
What is a collection?
A collection is a lenders last resort to collect on a delinquent account. Typically your account will go to collections after 6 months of delinquency.
Many lenders have an in house collection agency. In addition it is common for them to outsource their collection efforts or to outright sell your account to an agency.
Collection agencies will either buy your debt for a fraction of the balance or they will collect on a commission basis. Meaning they will be paid a percentage of every dollar collected.
An important tip to know is that if you get a collection on your credit report and just pay it, the negative mark will not be removed from your credit. Instead it will just change the status of the collection. The mark will remain and it will still be seen as a negative mark by potential lenders.
In sum you can remove collections and bad credit marks on your credit report. You do not have to wait 7 years for the mark to expire.
You will have to create a dispute letter and send it to each credit bureau. In your letter you have to say what mark you are disputing and give a reason as to why that mark is inaccurate.
Then a copy of this letter must be sent to each credit bureau. When the bureaus receive your letter and deem it valid they will investigate the disputed mark.
It is common for investigations to result in the deletion of a mark. This is because most lenders and collection agencies are unwilling to spend the resources verifying uncollectible debts.
If your dispute is verified then having a credit repair service can be very beneficial. They can use advanced dispute techniques to remove a bad credit item. These techniques include; debt validation, escalated dispute information requests, and creditor direct intervention.
What is a collection?
A collection is a lenders last resort to collect on a delinquent account. Typically your account will go to collections after 6 months of delinquency.
Many lenders have an in house collection agency. In addition it is common for them to outsource their collection efforts or to outright sell your account to an agency.
Collection agencies will either buy your debt for a fraction of the balance or they will collect on a commission basis. Meaning they will be paid a percentage of every dollar collected.
An important tip to know is that if you get a collection on your credit report and just pay it, the negative mark will not be removed from your credit. Instead it will just change the status of the collection. The mark will remain and it will still be seen as a negative mark by potential lenders.
In sum you can remove collections and bad credit marks on your credit report. You do not have to wait 7 years for the mark to expire.
About the Author:
For more tips on credit repair or for a free dispute letter to dispute bad credit on your report or to read a review of lexington law a suggested credit repair service visit us.
posted by Debt Consolidation Loan at
1:56 AM
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