What is a pay for deletion agreement?

Are you looking for a quick and easy option to clean up your credit report? Have you been lucky enough to snag a job in this economy? Have you, against all odds, run into some money and want to make a long term investment? If you answered yes to any of these questions and need a quick and efficient way to improve your credit a pay for delete agreement may be just the thing you have been looking for.
A pay for deletion agreement, is one strategy you can use to remove bad credit records from your credit report. It is a written agreement between you and a creditor or collection agency, in which you agree to pay your debt in full and they, in return, agree to remove a negative listing from your credit report. The pay for deletion agreement, should be an option you consider before negotiating with your creditor for a repayment plan. Steps on how to create your pay for deletion agreement are below:

  1. Obtain a copy of you credit report to evaluate which listings are negative
  2. If a particular creditor is listed in your credit report, before making a step to write a pay for deletion letter, you should first ask for debt validation in the form of a debt validation letter1.
  3. Following validation, you can now write a pay for deletion agreement to the creditor asking for the removal of a negative listing in exchange for paying for debt you owe in full1.
  4. If the creditor agrees to the terms within the letter, you should proceed to follow the terms outlined in the letter and look forward to a cleaner credit report.

You may refer to our sample letters for more information on templates that you may use when drafting letters to your creditors.

Pay for deletion agreements are a great way to get your credit report back on track, because they have the potential to remove damaging listings. If you are one of the lucky people out there and you have a job or you just got hired, the pay for deletion agreement may be suitable for you. Although, in the short run, it seem like a lot of debt to shoulder all at once, the long term benefits of having a cleaner credit report, are well worth it.


Sybria White

Sybria White

Sybria White is a senior at the University of North Carolina at Chapel Hill. Upon graduation in May 2010, she will leave Carolina with a Bachelor’s Degree in Sociology, a Certificate in Career Development and will be awarded a Public Service Scholar. She plans to attend graduate school to pursue a Master’s Degree in Public Health following taking a year off to contribute to a National Service Program, such as AmeriCorps. Her undergraduate career has taught her the value of a sociological perspective, which has influenced her dedication to public service. She is a volunteer for W.D. Hill Recreation center, Peer mentor for minority students and has served as an active member of several campus organizations such as Sociology club, North Carolina Health Careers and Access Program, Community Government, and Minority Advising just to name a few.

Apart from contributing public service and active involvement on campus, Sybria is very passionate about creative writing and writing in general and hopes to bring a sociological point of view to her articles. Her interests outside of writing and public service include reading books concerning fashion and spending time with her family.

A well rounded curriculum involving Business and English academics in addition to sociology, have helped shaped this young writers’ unique voice. She is eager to share her newly acquired skills and looks forward to helping others approach every day problems from a new, and perhaps, sociological outlook.
Sybria White

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