Consumer Comeback Blog

Write A Letter Justifying A Poor Credit Score To A Perspective Employer

According to the Society for Human Resource management, 47% of all employers run credit checks on potential employees applying for new jobs. The United States military even checks credit reports before they issue security clearances to members of the military. Did you know that it might be your credit score or negative blotches on your credit report that are holding you up from getting hiring? But, you do not have to take your poor credit score or negative marks in your credit report lying down. You can write a brief statement on your own with all three credit bureaus that a prospective employer will see when they pull your credit file in the hopes of keeping you in the running for the job of your dreams.

Why You Need To Write A Letter Justifying A Poor Credit Score

The idea is that you can provide more information to a creditor or a future boss as to why there are issues with your credit score and negative marks on your credit report. This will provide more information to the people making decisions about extending you credit or giving you that job of your dreams. It gives them a more complete picture of why you might have issues on your credit report or the extenuating circumstances that go with them. You can write either a one hundred word general statement or a statement of dispute to be added to your file. A general statement admits your mistake, and of course, a statement of dispute can try to show a future employer why the negative mark on your credit report is not valid despite possibly losing an appeal through the credit bureau or explaining the details if you have an ongoing dispute that is not yet resolved. With almost half of all employers pulling credit reports before they offer job seekers a job, it might be worth some effort to explain yourself if you have a few errors to clean up on your credit report.

Where To Send A Letter Justifying A Poor Credit Score

You can file a general statement with all three of the credit bureaus Experian, Equifax, and TransUnion. You can include a one hundred word letter in your credit report to anyone who pulls your credit report. After you try to resolve a credit dispute between yourself and the credit bureau and are still not happy with the results, you can add a one hundred word statement to your credit report. Most of the credit bureaus let you file your statement online while you dispute a negative mark in your credit report. Others also allow you to call their customer service lines to get one on one help filing your statement. In some cases, you can also request that the credit bureaus assist you in preparing the actual statement.

What Should Your Letter Justifying A Poor Credit Score Say?

If you are making a general statement about the negative mark on your credit score and not challenging the validity of the harmful data, then you should explain why there are extenuating circumstances of why you could not pay the debt on time. Maybe there are mitigating circumstances that are not reflected on your credit report. The one hundred word statement is the perfect place to briefly lay your case out for leniency from a prospective employer.

If a potential employer is going to request a copy of your credit report, you will know it. Doing so requires your permission and is not part of a normal background check. If you know that there are issues with your credit report and score, speak up first. Let your potential employer know before they find out from the report. A face to face discussion will give you more than one hundred words to make your case as well. Of course, there is no guarantee that a creditor or future employer will take into account what your statement says. But, with a difficult job market still plaguing America, it may be well worth your time and energy to write a one hundred word statement on your behalf and file it with the three credit bureaus. It is only one hundred words after all.

(photo credit: William Arthur)

Hank ColemanHank Coleman is a writer, entrepreneur, and professional in the government sector. He holds a Bachelor’s Degree in Business Administration, a Master’s in Finance, and is currently studying for his Certified Financial Planner (CFP) credentials. Be sure to follow him on Twitter @HankColeman.