If you’re like most consumers, you understand the impact that harmful information can have on your credit score. That’s why seeing a closed account may be cause for concern. If you are worried about the inclusion of a closed account on your credit report, this blog explores the impact it can have on your score, what steps to take if you wish to remove the information, and how a California consumer lawyer can assist you through these complex matters.
Does a Closed Account Impact My Credit Score?
There is a common misconception that having a closed account on your credit report is always a bad thing, which is far from the truth. In reality, depending on the history associated with the account, it can help or hurt your credit.
If you, for example, have never missed or made a late payment, this positive credit history can reflect on your score. However, if the account was riddled with late or missed payments, this can reflect poorly on your score. As such, it’s important to understand whether or not the inclusion of this information will help or hurt you by removing it. Also, accounts closed in good standing will remain on your report for ten years, while those in poor standing will remain for seven years.
How Can I Have This Information Removed?
If the inclusion of a closed account is negatively impacting your credit score, there are options to have this removed from your account. The first thing you can do is write a “Goodwill” letter to the original creditor. If you missed a payment or were late on a few, you may be able to explain the reason behind it, such as a medical emergency or family matter, and explain that you’ve taken steps to ensure it doesn’t happen again. However, you should know that just because you’ve asked nicely for the account to be removed, the creditor is under no legal obligation to comply with the request.
Another option is to file a dispute directly with the credit reporting agency. However, you must know that you can only pursue this route if there is something wrong with the listing, such as its inclusion if it is the result of fraud or listing an incorrect opening date. If you file a dispute, the reporting agency must investigate and issue a decision within 30 days.
As you can see, the process of fighting to have this information removed from our credit report can be complicated. If you need assistance, it’s in your best interest to connect with an experienced consumer attorney who can assist you through these matters. At Los Angeles Legal Solutions, we understand how frustrating these matters can be, which is why we are ready to assist you. When you need help, we’re here. Connect with us today to learn more.
