If you don’t mind doing a little haggling, you may be interested in negotiating a pay for delete letter. The letter from you to a creditor offers to repay a defaulted balance in return for having the transgression removed from your credit reports. You can get a free pay for delete letter template from Lexington Law and the other reviewed credit repair services. In the absence of a pay for delete agreement, you have no guarantee that a derogatory item will be removed even after you repay the balance. Items such as account defaults and collections can remain on your credit reports for up to seven years. During the first several years, these items actively lower your credit score. As to whether a pay for delete letter works, the answer depends on the creditor. Many mainstream creditors, including banks and credit unions, are not interested in this kind of negotiation. However, small businesses and utilities may be more receptive to a pay for delete agreement, especially if the account is in collection. In other words, a pay for delete letter may be worth a try, especially if the derogatory item is several years from expiration. But first, write a debt validation letter to the collector asking for proof that the debt is real, that the collector owns the debt, and that you are the one who owes the money.