How to Remove Derogatory Marks from Your Credit Report

How To Remove Derogatory Marks From Your Credit History

If you’ve experienced some form of financial hardship, negative information can appear on credit reports as a derogatory mark. Anything from late bills to bankruptcy can remain on your report for up to several years. Don’t fret over a blemish on your credit history! There are ways you can work on getting your credit to where you want it to be.

What is a Derogatory Mark?

In a nutshell, a derogatory mark indicates that you didn’t repay a loan according to the contract. A lender may report your activity to credit bureaus or credit bureaus can add public records to your reports. These marks can stay on credit reports for up to ten years. Over time, though, the impact of a derogatory mark decreases. This allows you to leave the past behind you and make decisions to help you grow financially going forward.

What Can You Do About Them?

  • One way to improve your credit is by making timely payments each month. Try to pay off your balance when possible, but you should at least make the minimum monthly payment on time. This way, you’ll keep your balance low.
  • Check your credit score often to look for incorrect derogatory marks and monitor your report. Discrepancies can occur as a result of anything from clerical error to identity theft, so be sure to dispute any error you may catch with the credit reporting agency on whose report it appears.
  • Your report can show Closed and Open marks. These refer to whether your accounts or loans are currently being used. Your personal and account information needs to be checked for accuracy and updated with any changes.

The best thing you can do is learn from experience and make smart credit moves. A derogatory mark will remain on your report for several years but making consistent, timely payments will lower the damage to your credit score. Be sure to keep tabs on your credit score by checking it frequently while you work to rebuild your credit. Being proactive with your credit and maintaining good payment history over time will help you remove derogatory remarks from your credit report.