Letter Of Explanation

Have you recently noticed an opened or pulled inquiry on your credit report? Don't panic - a pulled inquiry doesn't necessarily mean there's a negative issue with your account. However, it may raise some red flags for potential lenders, so it's essential to address it promptly with a Letter of Explanation.

What is a Letter of Explanation?

A Letter of Explanation is a written document that provides a clear and concise explanation for a specific issue related to your credit report. It is often required by lenders, employers, or other entities that review credit reports as part of their decision-making process.

Why Do You Need a Letter of Explanation?

If you've noticed an opened or pulled inquiry on your credit report, it's critical to address it with a Letter of Explanation. Here's why:

1. Clarify the Issue: A Letter of Explanation helps you explain what happened and why there's an inquiry on your credit report. It provides context for lenders or other entities that may question the inquiry and helps to clarify any potential misunderstandings.
2. Show Responsibility: By taking the initiative to address the inquiry and provide a clear explanation, you demonstrate to lenders that you are responsible and proactive about your finances.
3. Protect Your Credit Score: If the inquiry was made without your knowledge or authorization, a Letter of Explanation can help you dispute and remove the inquiry from your credit report, protecting your credit score, and improving your chances of being approved for credit in the future.

Get Your Letter of Explanation Template

Writing a Letter of Explanation can be a challenging task, especially if you're not familiar with the format or the tone that's required. At BizzLibrary.com, we know how important it is to get it right the first time. Our professionally drafted Letter of Explanation template is designed to help you craft a clear and concise explanation that meets the needs of lenders and other entities.

Download our Letter of Explanation template in DOCX format now and take control of your credit report. Whether you have an opened inquiry, an unauthorized inquiry, or any other issue, our template is the perfect starting point for crafting your explanation.

Visit BizzLibrary.com today and access a wide range of business document templates, including sales agreements, contracts, and more. Download your Letter of Explanation template now and take the first step towards a solid financial future!