What I’m about to share with you guys right now is something that I believe anyone can do to remove late payments.
I’ve got a story that I’m going to first share with you guys about a gentleman who broke his hip, was in a hospital for a few months, no family, couldn’t make his mortgage payment, three months, 30, 60, 90-day late payments, and was able to get them removed.
Today, I’m going to share with you one thing, one secret that I think could really impact the same thing that this gentleman went through that worked for him.
This may resonate with one of you guys and may work and help you out.
Remember that late payments are 35% of your credit score.
Think about that.
It’s the biggest percentage of your credit score. So when you miss a payment, you could go from the seven hundred literally to the five hundred in 30 days.
It’s 35%, excuse me.
I mean, you’re talking about more than a third of your credit score is comprised of literally your payment history, and we get it.
Life happens, things happen, accidents happen, people lose their job, people get into accidents, family death, loss of a job, been put in a hospital.
In this case, this guy is 55 years old.
Hardworking man breaks his hip, goes to the hospital for three months, gets back out and calls me and said, “Mike, this is what happened to me,” and I said, “James, here’s what you need to do.
You need goodwill.” You have to remember when I’m talking about a goodwill letter or phone call, I’m going to give you the one trick that worked for this guy and it may work for you, as well.
Goodwill, meaning if you have a late payment, let’s say for an example of this guy, he had years of good payment history.
An accident happened, 30, 60, 90-day lates, couldn’t make the payment.
They reported that information to the credit bureaus. Now, James gets out.
Not only did he go through a hardship where he couldn’t work, but his credit was screwed.
He was in the sevens. Now he’s in the fives. I said, “James, here’s what you’re going to do,” and what I’m about to share with you guys right now is something that I believe anyone can do to remove late payments.
The first thing that I want you to do is, and understand first what a goodwill letter is.
A goodwill letter is I’ve been good on my payments, and I’m asking for a forbiddance.
I’m asking for your help to say, “You know what? Your payments were good before.
Something happened, and then you made a couple of good payments after.”
Now, this gentleman did not make payments good after, and it still worked, but let’s say you had years of payment good, 90 days, something happened, you couldn’t make the payments, and then you made a couple of payments after showing that there was a little bit of a hardship there, this will work significantly more.
So pay close attention.
Unbeknownst to me, I told James, I said, “Look, here’s what I want you to do.
Number one, I want you to be persistent.
I want you to remember that your creditor is a human being.
So the person that you’re going to send a letter to, the creditor of your mortgage company or your car payment, or maybe you’re late payments, they are humans.
They are not machines. Everyone has a heart, and just like they put that late payment on, they can take it off.
They have the service to communicate with the credit bureaus, e-OSCAR, to be able to remove bad just like they put on the bad.” So I said, “James, here’s what I want you to do,” and I’m going to read this to you guys because I want you to know exactly what I told him to do, and this was able to get his late payments off.
The first thing I want to tell you is that these companies get hundreds of calls a day.
“Oh, I got some late payments, man.
Can you get those late payments off? I need to. I need to. I need to get those late payments off.
Do you know what I mean? I couldn’t make it.”
It’s not going to work.
The first thing you want to do is understand they get 100 calls a day, and you’re just another number.
How do you stand out?
What makes you stand out as a person is going to be the deciding factor.
Now, I’m not saying this is going to work for everybody.
What I am telling you is it works very good by the way that I’m going to teach you how to do it.
One thing I want to share with you is this, word for word. The most important thing is your warm-up.
When you’re calling into the creditor, what separates you from somebody else is the way that you talk to people, the way that you react, the niceness.
“Hey, how’s the weather where you’re at?
How …” This is called the warmup.
There’s a little bit of a warmup that you have to do to get people to feel, again, compassionate.
How do you feel when somebody calls you and they’re super nice versus somebody that calls you and shits on your day?
There’s a big difference in the attitude.
Collect honey. Bees collect honey.
You can collect more honey by being nice.
So think about it as you coming in and saying, “Hey, how are your kids?
How’s the weather?” You’re doing a little bit of a warmup.
“Now, the purpose of my call today is the first let you know I’m a little embarrassed, okay?
I’m a little embarrassed to make this phone call, and the reason for that is because I was hospitalized.
Now, as you can see with my payment history, I’ve made many, many payments on time.
In fact, I’ve never missed a payment, and here’s what happened.
I broke my hip, was hospitalized for three months. I had a 780 credit score.
With the three payments that you guys posted onto my credit, I’m now in the 500s.”
This is what I told him to say. “This has really altered my life.
I was always on time until this happened.
Here’s what I’m asking. In your heart, if you would remove those late payments, and I understand if you’re going to tell me, “No,” but what I’m asking you,” and know their name when you do this, always ask their name so you can personalize it, “can you see that I was always on time before this situation and that I missed these because of this devastation that I went through?
Life happens, and I apologize for missing those payments, and I hope truly that you understand that I will never miss a payment again.
It was truly an accident, and I deeply apologize for missing those payments, and I will make the payments that I missed in full.”
What did I just say there?
This guy missed the payments, three payments, but because he missed his payments did not mean that he didn’t have money.
The kicker is to be nice, to be very apologetic, to be compassionate about what happened, let them know what happened, and then he told them, I will make those payments in full if you can help me remove it from the credit bureaus.
The lady said, “You know what?
I appreciate the way that you came to me.
You don’t know how many calls that we have that are just not nice calls, demanding things, but because you took your time to state what happened, and I truly believe what happened, and you’re offering to pay those payments in full to remove it, your wish is my command,” and she removed the three late payments, and his score went from the 580s back to the 730s again.
Not saying it’s going to happen for everyone. What I am going to tell you is your credit habits are very important.
Do not let that ever happen again.
If you call the creditor, there’s also a goodwill letter, and I say consistent because maybe you talk to somebody it does not work for, but you call back somebody else, and it works, consistent.
Anything that is inaccurate, obsolete, that is erroneous, incorrect, unduly can be removed from your credit report.
Life happens and when you understand that these are humans that you could talk to, that call can really, really, really increase your credit score, being 35% of it, but the kicker is the warmup and being very apologetic, then offering the full payments that you’ve missed to make those in full. That’s what this gentleman did.
I definitely recommend this to everyone who has late payments on credit cards, house payments, mortgage payments, whatever, rent payments, if you’ve got credit cards if you’ve got a loan, car payment.
Also, there’s a goodwill letter that you can get, as well, so you can send the letter.
I would double back and do the phone call and the letter.
I would do the phone call first, then send the letter.
If you don’t like the outcome, you do it right again and do it again because, if somebody called me and was nice, and I was like, “Well, I could do it, but I just don’t see it in my heart that you were genuine about it,” and then somebody else called me and was super nice, and I was like, “You know what? This person sounded …”
What do you think this comes down to?
When I say the one secret, what do you think it comes down to?
You better be able to sell, and you better be able to sell your story, and I do not condone calling up and saying you broke your hip if you didn’t break your hip.
Let me be very clear about that.
If you had a hardship, car accident, there was a death, whatever, lost your job, sickness, hospitalized, whatever, things happen, and you can’t make the payments, what I recommend is using this, but using it to what happened in your situation, not just making up a situation because you don’t want the late payments.
That is the kicker.
It is a goodwill letter and it is a goodwill phone call, but make sure you do the phone call first and make sure you do it with this script.
Using those elements that I just shared with you, he was able to get almost his 200 points back off his credit.
I hope this finds you well, guys.
I wanted to share this story with you and let you know anytime that I get a story or I get something that has worked that I recommended, I want to share with you guys to make sure that you guys can go do it, as well.
You never know. It could put hundreds of points on your credit.
Thank you guys for watching Tradeline TV.
My name is Mike with Wholesale Tradelines, and until tomorrow, take care.