Goodwill letter: how to ask a lender to remove a late payment

The short answer: a goodwill letter is a polite request asking a lender to remove an accurate late payment from your credit reports as a courtesy.

• Works best when the late payment was a one-time slip and you've paid on time since
• Ask for one or two late payments, not ten
• Wrong late payment? Use a dispute instead
• Free template and what to do if the lender says no
• Next step: Plan it with the Bill Tracker Printable ($3.49).

A goodwill letter is a polite request to a lender asking it to remove an accurate late payment from your credit reports as a courtesy. It works best when the late payment was a one-time slip, you've paid on time since, and you ask nicely. It costs nothing but a stamp or a few minutes in a secure message center, and the worst a lender can say is no. Below you'll find when a goodwill letter makes sense, a sample letter you can copy, and what to do if the answer is no.

When a goodwill letter makes sense

A goodwill letter is worth sending when:

• The late payment is accurate, but it was a one-time thing. Maybe autopay failed when you switched banks, a bill went to an old address, or you were in the hospital.
• You've paid on time since. Six months or more of on-time payments helps, and years helps more.
• The account is in good standing now, either current or paid off.
• You have a reason to ask now, such as applying for a mortgage or car loan soon.

A goodwill letter is not the right tool if the late payment is wrong. If the date, amount or account isn't yours, that's an error, and you have the right to dispute it. The CFPB explains how to dispute an error with both the credit bureau and the company that reported it, and they must look into it. A goodwill letter, by contrast, is asking for a favor.

Why one late payment matters

Payment history is one of the biggest factors in most credit scores. The CFPB's guide to credit scores notes that scores are based on the information in your credit reports, including whether you pay on time. According to the CFPB, negative information such as late payments can generally stay on your report for up to seven years.

The good news is that a late payment usually hurts less as it ages, especially as you add new on-time payments. So if your late payment is several years old and you're not applying for credit soon, a goodwill letter is optional. If it's recent and you're about to apply for a mortgage, it's worth a try.

How to write a goodwill letter: step by step

1. Check your credit reports first

Pull your reports from all three bureaus. The CFPB explains that you can get a free report from Equifax, Experian and TransUnion once a week at AnnualCreditReport.com. Note exactly which month or months show as late, and on which reports. If anything looks wrong, dispute it instead.

2. Find the right address

Send the letter to the lender, not to the bureaus. Look for a customer service, executive office or credit reporting address on your statement or the lender's website. Many card issuers also accept messages through their online secure message center. Our general letter template shows the standard business letter layout.

3. Keep it short and honest

One page is plenty. Lenders read many of these, and a clear, sincere letter stands out more than a long one.

4. Take responsibility

Explain what happened in a sentence or two without blame. "I missed the March 2025 payment because my autopay didn't transfer when I changed banks" works better than a long story.

5. Show what has changed

Mention your on-time record since and what you've done to prevent it from happening again, such as autopay, reminders or a bill tracker.

6. Make a specific request

Ask the lender to "update its reporting to the credit bureaus to remove the late payment for [month and year]." A specific ask is easier to approve.

7. Follow up once

Give it about 30 days, then check your reports. If nothing has changed and you haven't heard back, follow up once by phone or with a short second letter to a different department.

Free goodwill letter template

Copy this, fill in the brackets and adjust it to your own words.

[Your name] [Your address] [Date]

[Lender name] [Lender address]

Re: Account ending in [last 4 digits]

Dear [Lender name] team,

I'm writing to ask for a goodwill adjustment on my account ending in [last 4 digits]. My credit report shows a late payment for [month and year].

That payment was late because [brief, honest reason, one or two sentences]. This was unusual for me. Since then I have [paid on time for X months / paid the account in full], and I've [set up autopay / added reminders] so it doesn't happen again.

I value my relationship with [lender name]. I'm [planning to apply for a mortgage / working to improve my credit], and this late payment is holding my score back. Would you consider a goodwill adjustment and update your reporting to the credit bureaus to remove the late payment for [month and year]?

Thank you for your time and consideration.

Sincerely, [Your name] [Phone number]

Don't include your full account number or Social Security number in a letter sent by regular mail. The last four digits plus your name and address are enough for the lender to find you.

Tips that improve your odds

• Ask for one or two late payments, not ten. A single slip on a long, clean history is the strongest case.
• Be polite even if you're frustrated. You're asking a person for a favor.
• Mention your loyalty. How long you've been a customer matters.
• Pay first. If the account is behind, bring it current before you write.
• Keep copies. Save a copy of the letter and note the date you sent it.
• Don't pay anyone to do this for you. The CFPB warns against paying upfront fees to companies that promise to fix your credit, because no one has the right to remove accurate late payments from a report. You can dispute real errors yourself at no cost.

Goodwill letter vs. other options

It helps to know where a goodwill letter fits among the other things people try:

If you're behind right now, call before the next due date. Many lenders have hardship programs that can lower a payment for a while, and stopping the next late mark matters more than removing an old one.

What if the lender says no?

Some lenders have firm policies against goodwill adjustments, especially for recent or repeated late payments. If you get a no:

1. Try once more with a short letter to a different department, or call and ask whether they offer any goodwill program.
2. Let time work. Each month of on-time payments pushes the late payment further into the past and makes it count for less.
3. Build positive history. Keep balances low and pay every account on time.
4. Check that it's reported correctly. If the late payment shows on the wrong month or after the reporting period has passed, dispute it.

Make sure it doesn't happen again

The lender is more likely to say yes if you can say you have a system now, and a system is what keeps the next late payment from happening. Start with autopay for at least the minimum on every account. Then keep every bill and due date on one page.

Our Bill Tracker Printable ($3.49) lets you list your bills once, with their due dates, then check them off every month. The Budget Planner Printable ($5.99) is 12 undated pages, including a Monthly Budget, Bill Payment Tracker, Debt Payoff Tracker and Savings Tracker, in US Letter and A4.

If you're paying down balances at the same time, the Debt Payoff Planner ($6.99) handles up to 10 debts and builds a month-by-month payoff schedule. It shows each debt's payoff month and your debt-free date, using snowball or avalanche. The Ultimate Budget Bundle ($19.99) includes six spreadsheets (among them a bill tracker and the debt payoff planner) plus the budget planner and bill tracker printables, $46.42 if bought separately.

The bottom line

A goodwill letter is a low-cost, low-risk way to ask for a second chance on an honest mistake. Write it yourself, keep it short and sincere, and send it to the lender. Whatever the answer, put a bill system in place so your next on-time payment is automatic.