Guides / Goodwill letters

How to write a goodwill letter to remove a late payment

A goodwill letter asks a lender to remove a late payment from your credit reports as a courtesy. The late payment was reported correctly, so the lender does not have to agree. Still, a short, honest request can work when it was a one-time slip on an account you have otherwise paid on time.

1. Make sure the late payment is accurate first

Get your free credit reports at AnnualCreditReport.com and find the account, the month, and how late it was reported (30, 60, or 90 days). Lenders usually report a payment late only once it is at least 30 days past due. If the late mark is wrong, for example you paid on time or the date is off, do not send a goodwill letter. File a dispute instead, because the credit bureaus must investigate errors. Our credit report dispute guide explains how.

2. Check that your situation fits a goodwill request

Goodwill letters work best when there is one late payment, or two at most, against a long on-time history, the account is current, and you have a short, true reason such as a hospital stay, a job loss, a move, or an autopay mix-up. They rarely work for a string of late payments, charged-off accounts, or collection accounts. For a collection, start with our guide to removing a collection. An accurate late payment can stay on your reports for up to seven years, but its effect on your score fades over time.

3. Write a short, honest letter to the original lender

Send it to the lender that reported the late payment, such as your card issuer, auto lender, or loan servicer, not to the credit bureaus. Own the mistake and do not argue that the entry is wrong. Explain briefly what happened, point to your payment history before and since, and ask them to remove the late notation as a one-time courtesy. Offering to enroll in autopay shows it will not happen again. Keep it to one page.

4. Send it to the right place and keep a record

Look for a mailing address for customer service or the credit reporting department on your statement or the lender’s website. Some people also write to the lender’s executive or customer relations office. Many lenders also accept secure messages through online banking. Keep a copy and note the date you sent it. If you get a yes, ask them to confirm in writing that they will update all three credit bureaus.

5. Follow up politely, then let time work

If the answer is no, wait a couple of months and ask once more, perhaps through a different channel. Sending the same letter over and over rarely helps. Some lenders have a firm policy against removing accurate information, and federal student loan servicers generally will not. Either way, keep paying on time, because recent on-time payments do more for your score than an old late payment does against it. Beware of credit repair companies that promise to remove accurate information for a fee; the FTC warns that nobody can legally remove accurate, timely negative information.

What your letter should include

• Your name, address, and the last four digits of the account number
• The month the late payment was reported and how late it was (30, 60, or 90 days)
• A brief, honest reason for the late payment and what has changed since
• Your on-time payment history before and after, and how long you have been a customer
• A clear request to remove the late notation from your credit reports as a one-time courtesy
• A request that they confirm in writing and update Equifax, Experian, and TransUnion

Keep a copy of everything you send, and note the date you sent it.

Sample letter

Adapt this to your situation. Replace everything in [brackets] and remove anything that does not apply.

[Your Name]
[Your Address]
[Phone] · [Email]

[Date]

[Lender Name]
Attn: Customer Service / Credit Reporting
[Lender Address]

Re: Goodwill request, account ending in [last 4 digits]

Dear [Lender Name] Team,

I have been a customer since [year], and I am writing to ask for a goodwill adjustment on my account.

My [month and year] payment was reported 30 days late. That month, [I was in the hospital for a week / I changed banks and my autopay did not carry over]. I paid the full amount as soon as I realized it, on [date]. Apart from that month, I have paid on time for [number] years, and every payment since has been on time.

I am not disputing that the payment was late. I am asking you, as a one-time courtesy, to remove the late payment notation for [month and year] from my credit reports. I am [applying for a mortgage / trying to refinance my car] and this one late mark is affecting my rates. I have since set up automatic payments so this does not happen again.

If you agree, please confirm in writing and update the reporting with Equifax, Experian, and TransUnion. Thank you for considering my request.

Sincerely,
[Your Name]

Frequently asked questions

Do goodwill letters actually work?

Sometimes. There is no reliable public success rate, and lenders do not have to agree. Your odds are best with a single late payment, a long on-time history, an account in good standing, and a short, believable reason. If it does not work, the late payment will still fade in importance over time.

Is a goodwill letter the same as a credit dispute?

No. A dispute says the information is wrong, and the credit bureau and lender must investigate. A goodwill letter admits the information is right and asks for a favor. If the late payment is actually an error, dispute it instead.

Should I send a goodwill letter to a collection agency?

Usually not. Goodwill requests work best with the original lender, which has a customer relationship to keep. For collections, ask the collector to validate the debt first, and see our debt validation guide.

How long does a late payment stay on my credit report?

An accurate late payment can stay for up to seven years from when the account first became delinquent. Its effect on your score is biggest in the first year or two and shrinks as you add on-time payments.