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Reviewed By:
Ashley Davison
Ashley Davison
Editor
Ashley is currently the Chief Compliance Officer for Credit Saint, previously the Chief Operating Officer. Ashley got into the Financial world by working as a Logistics Coordinator at Ernst & Young. Coming from a previous career in education, she is eager to teach the world every...
A goodwill letter asks a creditor to remove an accurate late payment from your credit reports as a courtesy. Creditors don’t have to agree, and some have policies against it, so it works best for a single slip on an account you’ve otherwise paid on time.
This guide covers what a goodwill letter is, whether it works, how to write one, a free goodwill letter template, where to send it and what to do if the answer is no.
Key Takeaways
A goodwill letter asks a creditor to remove an accurate late payment as a courtesy. It’s a request, not a right.
It has the best chance when the late payment was a one-time event, you’ve paid on time since and you have a clear reason.
Send it to the creditor that reported the late payment, not to the credit bureaus.
If the late payment is wrong, dispute it instead.
What Is a Goodwill Letter?
A goodwill letter is a short, polite letter asking a creditor to stop reporting a late payment that was accurate. You explain what happened and ask the creditor to remove it from your credit reports as a courtesy.
The change you’re asking for is called a goodwill adjustment, so you’ll also see the names goodwill adjustment letter and goodwill deletion letter. They all mean the same request.
Late payments generally get reported once you’re at least 30 days past due, according to Experian. Once reported, they can stay on your credit reports for up to seven years. See the 7-year rule.
Do Goodwill Letters Work?
Sometimes. A creditor may agree when the late payment was a one-time event on an account with a good history, but no creditor is required to, and some say they won’t.
Bank of America says on its goodwill adjustments page: “Financial institutions are required to report complete and accurate credit history, and that’s why we’re not able to honor requests for goodwill adjustments.”
Chase says in its guide to goodwill letters that “Creditors are not obligated to fulfill your request” and that “Some institutions, like Chase Bank, have a policy against goodwill letters due to a credit reporting requirement.”
Policies differ by creditor, so search your creditor’s help pages for “goodwill adjustment” before you write. If the creditor has a published policy against it, your time is better spent on paying on time and letting the late payment age.
Goodwill Letter vs. Dispute: Which Do You Need?
Use a goodwill letter when the late payment is accurate. Use a dispute when it’s wrong.
Goodwill letter
Dispute
When to use it
The late payment is accurate
The late payment is wrong, incomplete or can’t be verified
Who you send it to
The creditor
The credit bureau, the creditor or both
Does anyone have to act?
No. It’s up to the creditor.
Yes. Under the Fair Credit Reporting Act, the bureau generally has 30 days to investigate and must correct or delete information that’s inaccurate, incomplete or can’t be verified.
No one, including a credit repair company, can force a creditor to remove an accurate late payment. Some people still want help with errors, because disputes mean letters to creditors and up to three bureaus, each replying on its own schedule.
What a reputable credit repair company like Credit Saint does is review your credit history and challenge the items you believe are inaccurate, incomplete or unverifiable with your creditors and all three credit bureaus.
Credit Saint has been in business since 2007. Credit service companies cannot promise a result or credit score increase. If disputing errors yourself is more work than you have time for, start a free credit review.
A goodwill letter has the best chance when the late payment looks like an exception, not a pattern.
It was a one-time late payment on an account with an otherwise clean history.
You’ve paid on time since then, ideally for many months.
There was a real reason, such as a medical emergency, a job loss, a natural disaster or an autopay mix-up. If the creditor caused the error, a dispute may be the better route.
The account is current or paid in full.
Your creditor doesn’t have a published policy against it.
It’s much less likely to work for several late payments, accounts in collections or charged off, or an account that’s still behind.
How Do You Write a Goodwill Letter?
You write a goodwill letter by owning the mistake, explaining it briefly, showing what you’ve changed and asking for one specific thing.
Find the details. Note the account number (or last four digits) and the month and year of the late payment from your credit report.
Explain what happened. One or two honest sentences, without excuses.
Show what’s changed. For example, you set up autopay and have paid on time every month since.
Mention your history. How long you’ve been a customer and that the account is otherwise in good standing.
Make one clear request. Ask the creditor to consider a goodwill adjustment to remove that late payment from your credit reports.
Keep it to one page. Be polite and specific, and thank them for considering it.
Goodwill Letter Template
Copy this free goodwill letter template and fill in the brackets.
[Your name]
[Your address]
[Date]
[Creditor name]
[Creditor address, or customer service or credit reporting department]
Re: Account ending in [last four digits]
Dear [Creditor name] team,
I’ve been a customer since [year], and I appreciate the service you’ve provided. I’m writing about a late payment reported on my account for [month and year].
That payment was late because [brief, honest reason]. Since then, I have [what you did, such as set up automatic payments], and I’ve paid on time every month.
I’m asking whether you would consider a goodwill adjustment to remove this late payment from my credit reports. I understand you aren’t required to do this, and I’d be grateful for your consideration.
Thank you for your time.
Sincerely,
[Your signature]
[Your printed name]
Where Do You Send a Goodwill Letter?
Send a goodwill letter to the creditor that reported the late payment, not to the credit bureaus. Only the creditor can decide to change what it reports.
Find the right address. Check the creditor’s website or statements for a customer service or credit reporting address. Some creditors take requests by secure message in your online account.
Send it with tracking if you mail it, and keep a copy.
Follow up once if you don’t hear back in a few weeks.
Check your reports afterward. If the creditor agrees, the change can take a reporting cycle or two to appear. You can get free reports every week at AnnualCreditReport.com.
What If Your Goodwill Letter Is Rejected?
A rejection is common, and it doesn’t hurt your credit. A late payment’s impact fades as it ages and you add on-time payments.
It’s unlikely. Goodwill requests work best for a single late payment on an account in good standing, and a charge-off means the account went seriously unpaid. If the charge-off is reported wrong, dispute it. Learn more about charge-offs.
No. The credit bureaus report what creditors send them, so a goodwill request goes to the creditor. Send disputes about inaccurate information to the bureaus.
Yes, you can ask. It helps if the account was paid in full and the late payment was a one-time event. The creditor still decides.
You can ask, but goodwill requests rarely succeed for collections. If the collection is inaccurate or can’t be verified, dispute it. See our guide to collections on your credit report.
Bottom Line on Goodwill Letters
A goodwill letter is worth a try for a single, accurate late payment on an account you’ve otherwise handled well, as long as your creditor doesn’t have a policy against it.
Keep it short and honest, send it to the creditor, and expect that the answer may be no. If the late payment is wrong, dispute it instead.
Reviewed By:
Ashley Davison
Editor
Ashley is currently the Chief Compliance Officer for Credit Saint, previously the Chief Operating Officer. Ashley got into the Financial world by working as a Logistics Coordinator at Ernst & Young. Coming from a previous career in education, she is eager to teach the world everything she knows and learn everything that she doesn’t! Ashley is a FICO® certified professional, a Board Certified Credit Consultant, a Certified Credit Score Consultant with the Credit Consultants Association of America, UDAAP certified, and holds a Fair Credit Reporting Act (FCRA) Compliance Certificate.
