How to Erase Late Payments from Your Credit Report
- Mike Frances
- Nov 9
- 6 min read
A single 30-day late payment can drop your credit score by as much as 100 points, especially if you have a previously clean history. That’s a major setback, and one that can cost you thousands in higher interest rates on loans, credit cards, and even auto insurance premiums.
But here’s the good news: You don’t have to pay a company to fix it. Disputing late payments is your legal right. And with the right approach, you can delete late payments from your credit report for free.
In this guide, we’ll walk you through how to dispute a late payment, when you can get it removed, and what to do if the creditor won’t budge.
Contents
Why Late Payments on Credit Report Matter
Your payment history is the most important factor in your credit score, making up 35% of your FICO score. Just one reported late payment can have a lasting impact on your score and be reported to bureaus for up to 7 years.
Even worse, a late payment stays on your credit report for up to seven years. During that time, it can hurt your chances of:
Getting approved for a mortgage or car loan
Securing a low-interest credit card
Renting an apartment
Avoiding wage garnishment or high insurance premiums in some cases
This is why deleting late payments is a critical first step in any credit recovery plan.
Never Pay for Credit Repair Many companies promise to “erase” bad credit for a fee. Don’t fall for it. Credit repair is your legal right, and you can do it yourself—legally, for free.
Looking to raise your score? See our DIY Credit Repair Course.
How to Remove a Late Payment: Step-by-Step
Whether you truly missed a payment or the report is inaccurate, you still have options. Here’s how to dispute a late payment and potentially get it removed:
Step 1: Request and Review Your Credit Reports
You’re entitled to one free report from each bureau (Equifax, Experian, and TransUnion) every year via AnnualCreditReport.com. Pull your reports and carefully look for any:
30-day late payments
Inaccurate dates
Accounts you don’t recognize
Step 2: Verify the Information
Ask yourself:
Was I really late?
Did the payment get posted late due to a processing delay?
Was I impacted by a natural disaster, hospitalization, or military service?
If there’s any chance the information is inaccurate or unfair, you can legally dispute it.
Step 3: Dispute Directly with the Credit Bureau
Write a formal dispute letter to the credit bureau reporting the late payment. Your letter should include:
Your full name and address
Account number
Clear explanation of the error
Any supporting documentation (e.g., payment confirmations, hardship letters)
The bureau has 30 days to investigate. If the creditor can’t verify the late payment with With
proper records, the bureaus must delete the late payment.
Step 4: Send a “Goodwill Adjustment” Letter (If Accurate)
If the late payment was valid, but you’ve had a strong history with the creditor, try sending a goodwill letter. In it, you ask the creditor to remove the late payment as a one-time courtesy. This works best if:
You’ve been on time for a long period before or after the incident
You’ve already paid the account in full
You explain the circumstances respectfully
Some creditors may adjust as a goodwill gesture—especially smaller credit unions or lenders.
Still Can't Remove Late Payment? See our DIY Credit Repair Course.
Free Late Payment Dispute Letter
If a late payment appears on your credit report, you have the legal right to dispute it. The Fair Credit Reporting Act gives you the ability to challenge any item that is inaccurate, incomplete, or unverifiable. A well-written dispute letter can lead to a successful removal and help protect your credit score from unnecessary damage.
We offer a free late payment dispute letter template, created by certified credit counselors, that you can download and use today. This template is designed to meet the standards used by professional credit repair specialists and is updated regularly.
Download the Free Template
Download Late Payment Dispute Letter PDF
Download Late Payment Removal Letter Docx (Word)
You can use this letter to dispute:
30-day late payments
Incorrect late payment notations
Credit reporting errors by lenders or servicers
Unverified or duplicate entries
Make sure to write your own unique version based on the template. Personalizing your dispute letter increases your chances of success and shows that you understand your rights and the facts of your situation.
👉 Get more letters, templates, & versions in the Document Center.
Can You Remove a Late Payment That Was Your Fault?
If you have accurate late payment accounts on your credit report, you may still be able to stop reporting. Regardless of account status creditor must still verify the record if challenged, and the bureaus must remove the account if it cannot be validated.
If you have since established a positive record with the creditor, a goodwill letter may be effective in getting a 30-day late payment removed from your credit report. Many creditors want to maintain a good relationship with consumers, and there is no harm in asking. If you cannot get a late payment removed. In that case, you may consider adding an explanatory statement to your credit file asking lenders to consider exigent circumstances (ie, job loss, medical issues) that led to your late payment.
Late Payments on Credit Cards
Late payments on credit cards can be especially damaging. Not only do they hurt your credit score, but they can also trigger penalty interest rates, reduce your available credit, and increase your credit utilization—which further harms your score. If inaccurate, you can easily remove late credit card payments from your report.
Most credit card issuers report to the credit bureaus once you’re 30 days past due.
A single late payment can stay on your credit for 7 years, even if you bring the account current.
Issuers may waive the late report if it’s your first offense—so always call and ask.
If the payment was an oversight or a result of financial hardship, try both a dispute and a goodwill letter. Also, consider setting up autopay for the minimum amount to avoid future hits.
Late Payments on Mortgage
Late Payments on Mortgage
Mortgage late payments are among the most damaging marks on a credit report. They signal high financial risk to lenders and can hurt your score far more than a missed credit card payment. Because your home loan is a major installment account, a single 30‑day delinquency can drop your score by 60–100 points — and multiple late marks can push you toward serious delinquency status.
Mortgage servicers typically report delinquencies to the credit bureaus at 30, 60, and 90 days past due.
30 days late: The first reportable mark, usually with a moderate score impact.
60 days late: A more severe hit that can lower your score by over 100 points.
90 days late: Often viewed similarly to a pre‑foreclosure status, it is detrimental to your score and stays on your report for seven years.
If you pay before 30 days past due, you may still owe a late fee, but your credit score remains safe.
If your late payment was caused by a temporary hardship (such as illness, job loss, or natural disaster), send documentation to your lender and request a goodwill removal. Many servicers honor these requests if your history is otherwise positive.
For confirmed servicer mistakes or reporting errors, file a formal dispute with the credit bureaus under the Fair Credit Reporting Act (FCRA). Provide copies of payment proofs, confirmation numbers, and correspondence logs. Bureaus must investigate within 30 days, and if the servicer cannot verify the delinquency, it must be deleted.
Late Payment FAQs
Are late payments reported to the credit bureau?
Yes. Late payments are reported to credit bureaus (Equifax, TransUnion, and Experian) once they are 30 days past due. If you pay during the grace period or just a few days late, you may still be charged a late fee, but it typically will not appear on your credit report.
Are late payments bad for credit?
Yes. Payment history is the largest factor in your credit score, making up 35 percent of your FICO score. Even a single 30-day late payment can lower your score by 60 to 100 points. Multiple late payments or missed payments beyond 60 or 90 days are even more damaging.
Are late payments removed after bankruptcies?
No. Filing for bankruptcy does not automatically remove late payments from your credit report. Accounts included in the bankruptcy will still show their history, including any missed or late payments before the filing. The bankruptcy itself is listed separately as a public record.
When does Affirm report late payments?
Affirm usually reports your account and payment activity to Experian, and sometimes to other credit bureaus. If your payment becomes 30 or more days late, it may be reported and negatively impact your credit score.
When do late payments fall off your credit report?
Late payments generally stay on your credit report for seven years from the original date of the missed payment. After that, they are automatically removed under federal law.
Can Late Payments Be Deleted From Credit Report Before 7 Years?
Yes, inaccurate late payments, those negotiated during settlement agreements, and those removed through goodwill letters may no longer appear on credit.
How to Dispute Late Payments on Credit Karma
Credit Karma only shows information provided by the credit bureaus. All disputes should be filed by mail and directly with credit bureaus or furnishers, not online or through any third-party service.
Explore the full DIY Credit Repair Course to start repairing your credit step by step today,