What is a Deletion Letter?

What is a deletion letter? How can I use it to boost my credit score or do credit repair? Learn how to use them to your advantage.

This type of letter is one of the best-kept secrets of credit repair. It’s the quickest way to boost your credit score and remove any outstanding collections.

Many people have small collection items on the credit report, for instance unpaid phone bills, unpaid medical bills, charge card balances and other small collection items that are showing as outstanding debt. Even an unpaid collection item of $25 can hurt your credit score by 20 points and more.

Ask "Do You Delete?"

Because of this, the quickest way for credit repair is to call up the collection agency that you owe money to and ask the golden question: "Do you delete?" Many people don't realize that collection agencies will voluntarily delete your derogatory item from your current report if you just ask them to and pay them the balance that you owe. Fifty percent of the time, the answer to the question "do you delete" is "yes."

Why is this letter so important?

Because, many times you're looking to improve your credit score NOW as you're applying for a home loan and time is of the essence. The creditor or collection agency would normally take 30 to 90 days to update your credit report with the bureaus. If you obtain a letter stating the deletion, you can fax it to the credit reporting agencies to get the collection off your credit report within a few days. Thus, you’re effort in credit repair via this letter can quickly boost your credit score.