How to Remove Closed Accounts from Your Credit Report | Mizrahi Kroub LLP (2024)

FAQs

How do I remove all closed accounts from my credit report? ›

Closed accounts can be removed from your credit report in three main ways: (1) dispute any inaccuracies, (2) write a formal goodwill letter requesting removal or (3) simply wait for the closed accounts to be removed over time.

A 609 dispute letter, also known as a credit dispute letter, is a written request to credit bureaus to remove incorrect, negative information from your credit report.

Specifically, section 609 of the FCRA gives you the authority to request detailed information about items on your credit report. If the credit reporting agencies can't substantiate a claim on your credit report, they must remove it or correct it.

If a closed account is negatively impacting your credit score because of inaccurate information, you can dispute the information with the credit bureaus. For closed accounts with accurate information negatively affecting your score, you can make a goodwill request to your creditor.

A goodwill letter is a formal request asking the credit bureau to remove a closed account from your credit report as a courtesy. Politely ask the credit bureaus to remove the account to improve your credit score.

A 609 letter template is a form letter that is used to dispute items on a credit report. The letter is sent to the credit reporting agency, and the purpose is to request that the disputed information be removed.

A 623 dispute letter is a written communication submitted to a credit bureau, typically by a consumer, to dispute inaccuracies or discrepancies in their credit report.

"The 609 loophole is a section of the Fair Credit Reporting Act that says that if something is incorrect on your credit report, you have the right to write a letter disputing it," said Robin Saks Frankel, a personal finance expert with Forbes Advisor.

Send a dispute

The FCRA allows consumers to dispute credit report errors and fraud. So, if you check your credit report and discover a collection account that shouldn't be there, you can send a dispute to Equifax, TransUnion, or Experian and ask them to remove it.

The truth is that there are no magic words to stop a debt collector from collecting the debt. In case you are wondering what the 11 word phrase to stop debt collectors is supposed to be its “Please cease and desist all calls and contact with me immediately.”

What is a 611 dispute letter? ›

Under Section 611, a credit reporting agency is not required to provide consumers with the verification method or send them any written result of the dispute if it is sent electronically. A 611 credit disputing letter is sent after a credit agency confirms that the information mentioned in the letter has been verified.

Send a written request to remove the account from your credit report directly to the creditor that reported the information to the credit bureau, McClary says. Ask politely if the creditor will remove the account now that it is no longer active.

Bear in mind that only errors can be deleted from your credit report. Correct information cannot be removed and stays on file for at least seven years.

It's not possible to wipe your credit history clean. Negative items like late payments, collections and bankruptcies typically remain on your credit report for several years. However, you can rebuild your credit with on-time payments, debt reduction and responsible credit account management.

Negative information typically falls off your credit report 7 years after the original date of delinquency, whereas closed accounts in good standing usually fall off your account after 10 years.

How to Remove Canceled Debt From Your Credit Report. In general, you can't get discharged debt removed from your credit report unless the information is inaccurate. In that case, you have the right to file a dispute with the credit reporting agencies.

Any negative mark on your credit can impact your score and reduce your chances of qualifying for a mortgage. This is especially true if you have debts that are late (past due), charged off, or currently in collections. But the reporting of these derogatory accounts doesn't disqualify you from getting a mortgage.