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Late payments are not just a negative mark on your credit report, they can be a financial nightmare. It can start with late fees, higher APR charges, and even getting denied for a new credit card or loan. Any payments that are past 30 days will ding your credit score because your payment history makes up 35% of your score. A first step to try is writing a 'Goodwill Letter' to your creditors to remove those late payments. Keep in mind this is you asking the creditor for the courtesy, so it is not always guaranteed success. It never hurts to ask because you will be stuck with those derogatory marks on your credit score for at least the next seven years.


Just What is A goodwill letter?

When you write a 'goodwill' letter to your creditor(s) you are explaining the reason for your late payments and asking them to remove the negative marks. It is important, to be honest, and to the point in explaining your unexpected changes of circumstances and financial hardship that cause those late payments. Life happens and situations sometimes can not be controlled, but you need to make your reason clear for each late payment. You have to remember that creditors are not obligated to remove this information, you are asking them as a courtesy, so ask with that thought in mind.


Note: Remember late payments are different from incorrectly reported missed payments. If you notice any incorrect information on your credit reports disputes the error instead of sending a 'Goodwill Letter'.


We all have certain events that can happen to us that we can't control and most people would understand that. So, explain your situation and be courteous and pleasant in the tone of your letter. Make sure to give specific reasons to those circumstances like, (loss of a job, a family member passing away). It is a huge boost to also either showing recent on-time payments or have paid off your debts recently. The reason for making that commitment is to show the creditor(s) that you are taking responsibility for your late payments and staying current with your new bills. It gives you credibility and shows responsibility on your part. Creditors are more likely to believe in the future you will keep up with your payments and plan for the financial crisis.


Example of a 'Goodwill Letter'


Instructions

  1. Fill in all fields in brackets with your information

  2. Edit this letter to reflect your personal tone, voice, and situation

  3. Convert your Letter into PDF format

  4. Print and sign and mail

[Today’s Date]

[Name of the Creditor]

[Creditor address]

[Creditor City, State, ZIP]


Dear [Name of Creditor]


To Whom It May Concern:


I want to thank you for taking the time to read this letter. I’m writing in regard to my credit report because I noticed that my most recent credit report contains [a late payment/payments] reported on [date/dates] for my [name of account] account.


I want you to know that I fully understand that I am financially obligated to pay all my debts. Recently do to [circumstance that caused you to miss a payment], I have missed [payments missed] I would otherwise have an excellent repayment record. I was careless and unfortunately falling behind on my payments, but since then, [description of how your circumstances have taken steps to change and improved your money management and pay your debts]. Since then, I’ve kept up with my payments and my account(s) has been spotless with on-time payments.


I’m planning to apply for [a credit card/mortgage/auto loan/etc.], and it’s come to my attention that negative marks such as missed/late payment on my credit report could potentially hurt my ability to qualify. I have reflected on my part to not take action when I was going through [description your circumstances once more why you missed payment] and not contacting [creditor]. I believe that my recent lapse in payment does not reflect my creditworthiness and my commitment to repay my debts. It would be a tremendous help to me if you made the decision to give me a second chance and make a 'goodwill adjustment' to remove the late [payment/payments] on [date/dates]. I do understand that [creditor] is not obligated to remove late payments, but I would appreciate the consideration to help me build my credit in the future.


Thank you so much,


[Your Name]

[Your Address]

[Your City, STATE ZIP]


Now that you have your letter all writing out is time to print and mail it out. Make sure to send your letter to the address listed on your credit report or their website. In some cases you may notice different bureaus have different addresses, I would suggest sending a letter to each one. Don't give up on contact, you may have to send a few letters and call them multiple time, persistence is key.



Checking your credit regularly is a crucial step to rebuilding your life. It helps you keep up with the information that is reported to each credit bureau. If you are looking to raise your credit score, a sample error or incorrect information could be costing you 100+ points. It's not just about the points; mistakes could be costing you hundreds of dollars you need to improve your life. It is essential to make sure that your credit report is free of any errors and inaccurate information. Even if the information is accurate, it is crucial that you clean up your credit score if a negative mark can be removed. Negative marks like late payments, high credit utilization, and any other marks you can take action to remove you need to do it.

It's the first step to financial freedom.

You don't have to wait to get started; you can start now by keeping your credit utilization low and making your payments on time


So how do you go about cleaning your credit yourself? Use our simple tips that have work to remove marks on our credit report.


Take These Five steps to start Cleaning your credit score today:


1. Get Your Credit Reports (it's FREE!)


The Fair Debt Collection Practices Act of 'section 809 Validation of debts' require collection agencies to validate debts they are in the process of collecting. You only have to request for them to validate the debt on your credit report. The first step is to visit AnnualCreditReport.com to request a one free credit report every year from each of the three major credit reporting bureaus, Equifax, Experian, and TransUnion. Due to the recent pandemic, you can access your score weekly until April 2021 with each bureau to keep up with any inaccurate information. You can view your Equifax and TransUnion scores update weekly by signing up with creditkarma.com Requesting those reports allows you to be aware of any and all issues that need to be addressed immediately.


2. Go Through Your Credit Reports (With a Fine Tooth Comb)


It can take days or weeks, and of course, it will most likely be tedious, but stay focus. You need to be aware of EVERYTHING that is on your report. Check for accounts (old or new).


Check for all marks on your report for the following items :

  • Account(s) type

  • Account(s) number

  • Account(s) Balance

  • Payment (s)history

  • Delinquency date

  • Full Credit limit

  • High Revolving balance

  • Account status (Open, Closed, ....)

  • Payment status (Judgment, Collection,....)

  • Date opened / Date closed (check all dates)

  • Anything other information that appears to be inaccurate

Make sure to pay attention to your personal information is accurate. You want to make sure things like your name, address, and other personal information are correct. Your personal information may not impact your score, but you also want to make sure no one uses your identity. Any signs of a different address or your age, date of birth could be a strong sign of identity theft. Reading through each line highlights everything that needs to be addressed in your report.

3. Now Dispute Any and All Errors


So how do you get those negative marks off your report? To get any negative marks to remove from your credit report, you need to get in contact with the lender or creditor or file a dispute with the credit bureau. Any information that is incorrect on your credit report dispute the error by filing a formal complaint with the bureau. It's essential to file a dispute with each credit bureau to ensure all three accounts are clear. Make sure to include all supporting documents payments statement, agreements arrangements, and anything else that support your dispute. You can file a dispute with Equifax and Transunion through creditkarma.com as well; it's free too. Each error you correct and is removed from your account could be worth 10s to 100s of points. The fastest route for late payments is to reach out to the creditor or lender themselves to work out a deal. You will find lenders are more agreeable if you have a long history of on-time payments and will continue to make payments in the future. If you still have a balance on a current or even on close account, work out a payment with the lender in exchange to have those late payments removed. It is crucial to get a written agreement from the lender to ensure those terms will be met. One way to do this is to write a 'Good Will Letter', they don't always work, but when they do, the lender will contact the bureaus and remove your late payments. The creditor is under no obligation to do remove those marks, but some will if you approach them with respect, have made your payments, and have a valid reason for late payments.


Collections, Bankruptcy, Foreclosure, Judgment, and More....

Negative marks like Collections or Bankruptcy are more serious and harder to simply remove off your credit reports, but you can always give it a try on your own. Start by asking the creditors to work out an agreement to see if marks can be removed. Be aware; debt collectors may have contracts with credit reporting agencies that prohibit them from receiving payment for the removal of negative marks. That means they will not risk their company and relationship base on a simple request. In this case, writing a 'Good Will Letter' or Negotiate a Pay-for-Delete Agreement is not the best route. If the information is incorrect or inaccurate, you can dispute the negative mark to validate the debt and have it removed. Generally, negative marks such as late or missed payments, accounts sent to collection, accounts not being paid as agreed, or bankruptcies stay on your credit report for approximately seven years. You can use a free service for negative marks like collectionshield360.com to see if they can help. You may have to just play the waiting game and wait for the negative marks to age and fall off in most cases.


If you believe that you have been a victim of identity theft, immediately add a fraud alert and freeze your credit. It is the best way to protect your credit (credit freeze is available for free in the USA). Next, make sure to file a police report with as much information as possible from the incorrect account. You will also want to sign up at www.identitytheft.gov; they can help you report and recover from identity theft.


4. Lower Your Credit Utilization


Your credit utilization is the ratio of how much credit you use to how much is available to you. In general, you want low credit usage to help keep your score high. Most advise to stay 30% or lower, but if you can keep your balance at zero, never carry a balance to avoid paying credit card interest rate. Your credit utilization counts as 35% of your score that's a huge chunk already; keeping it at zero does a lot for your score. A high credit usage can indicate you depending on credit and not having enough funds to pay them off. That will make you seem more of a credit risk to creditors later down the line, as well as lowering your sore. Paying off your debts lower your risk factor, raise your credit, and prevent additional fees from being added to your account. A rule of thumb to use is unless you have the cash (half or all of it) don't use your card, then make your payment right after it's posted.


5. Pay attention to Any Outstanding Judgments or Loans


It's essential to show that you are taking care of your obligations. Any loans or judgments that haven’t been paid on your credit report needs to be taking care off. Having unpaid loans or judgments on your credit report could be driving your credit score down. Not everyone has the funds to just pay off their loans, lenders usually have a payment plan you can set up. Don't forget to check your funds to make sure you can meet the monthly payments; it's crucial to continue making payments and to make them on time. Don't be afraid to ask the lender to pay a lesser amount than owed; depending on your loan, you may be able to work out a deal and pay a lump sum.


What else can You do when all else fails?

For most late payments going about the dispute route almost always works. If you can't get any response or just don't have the time, it may be time to try using a credit repair service. It is important to read reviews, ask lots of questions, and reach the company more before signing up. Some repair companies may just be taking your money for months for something you could be doing yourself.


Cleaning up your credit is one of the best things you can do to give yourself a fighting chance. You will have access to new funds and a chance to do more if you want to improve your lifestyle or start a business. All you have to do is take the time to clean up what is under your name by making sure that everything reported on your credit score is correct.



Making a video for your business may seem unimportant in the beginning, but you would be surprised at the payoffs. According to somScore Inc. that is a digital marketing measurement company the average internet user will watch about 186 videos a month. It may be something as simple as looking for how to videos, something to entertain themselves, or just a videos that have gone viral.

Having just a two to five minutes videos engaging people on a major network like YouTube works better than any text or picture could. You want people to pay attention to bring a face, voice, and best of all personality to each video to keep your viewers. You can now demonstrate your skills, authority that shows the passion you have for your business. If you want to boost your email response up to even 50 percent add a video to get noticed.

Don't worry if you are not a pro because all you need is a camera and a basic online video editing tool. Small cameras can cost from $20 to $3000, so you have a full range from which to choose. "I started filming videos on my laptop camera and later purchase a Canon Power Shot SX400IS after making an income in a year". You can use some free software to start out with 'Lightworks,' they have a great program along with many tools to make a great video plus it is all FREE!. "I use lightworks in the beginning and later on purchase Adobe Premiere Elements to improve my skills." All you need is a small script with your thoughts and what you want to say about your business. Video marketing is a great tool for just about any small business to enhance their marketing efforts while keeping the cost down on their budget.

Choose Video Topics That Will Grow Your business; it's not hard to come up with ideas. These videos goal is to inform everyone about your business.

You want to star with videos that explain who you are and what you do. That means talking about your business, but also showing them how your business work. The more prospects know about your business, the more likely they are to make a purchase. These first videos would be an excellent way to introduce any staff you have in the office. You customers will see the commitment you are putting in your business by looking the efficient staff you hire to service them. Customers like to know they can trust you to give them the best service, having the right staff makes them feel inform and your company more trustworthy.

Let costumers see themselves in your videos ( with their permission of course) use their testimonies. The best spokesperson for your business are your customers; people will trust their reviews because they are a customer as themselves and expect them to be honest. Having a video of customer testimonials help people see themselves using that product or service. You can even engage them in a survey right on the video and ask the views to leave their thoughts on the video itself or any other opinion they may have.

Another great video is showcasing your business, walk around the office, show the location, and any special items that help you stay in business. Instead of having an 'About Us' page with just writing on it, you can have a video of you having fun showing pride in your business.

It's okay to be camera shy if it's your first time filming, all you need to know is to turn that camera on and start recording. Remember don't complicate things, just keep it simple and do what comes naturally. It is your video, you are confident in your company and know what you are talking about so show it. "I found that after a few videos you become so comfortable with the camera it all comes naturally." IT helps to work with people that are co-operative, and you feel comfortable working with to help make every video education with a genuine feel to it. Preparing a script may seem unnecessary, but it contributes to keeping your thoughts in order. "I always have a script ready even if I don't use it or I just want to use part of it," you will always stay organize and on the topic. Afterward, you can edit and deliver a well put together video for your audience.

You will not only have a video about your business, but a way to continuously engage your audience. Never forget to add a call to action in your videos, it's how to engage the viewers. It is as simple as asking to "Take our survey to help us improve" or "Share your thoughts on this Topic" or even "To learn more read our Blog." Don't be afraid to ask them to leave comments, tell them to share your video with their social networks, it is an excellent way to help spread awareness of your business. You can build you business with your videos in the way of branding your company online with viewers and who knows you could even go viral.

Making a video for your business can be fun and rewarding, don't make it a chore, make it fun and enriching. Make video marketing work for your business by embracing what makes it work, Your Viewers!

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References/Resources

Creditsesame

Free Credit Score,

Free Digital Banking.

https://bit.ly/2Z1fMAr

Bitly 

Create Click-Worthy Links

https://bitly.com/

Creditkarm

Credit scores and more

https://www.creditkarma.com/

Mint intuit

All your money in one place

https://www.mint.com/

Grow Your Money With Acorns 

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Investing With Robinhood

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