Notify your lenders when you know you will be facing financial difficulty

Dear Experian,

I am wondering if we should let the three national credit reporting companies know that due to the recession right now we are having difficulty with some of our payments. We have had no work for two years and are really struggling at the moment. My husband is on disability but is still looking for work. Our credit up to this point has been good.



Dear MJB,

If you did add a statement to your credit report, it would only be reviewed when you are in position to apply for new credit. So, there is no advantage to adding a statement now.

Rather than contacting the national credit reporting companies, you should contact your creditors to let them know you are facing some serious financial challenges.

You may be able to work with your lenders to reduce your interest rates or provide payment relief so that you don’t fall behind. It’s important to stay in touch with your creditors so that they know what is happening and that you are doing everything you can to remain current.

The credit reporting companies must accurately show in your credit history what your creditors report. If they report an account as delinquent, the delinquency must be included in your credit history.

By working with your creditors you may be able to prevent delinquencies from being reported, or at least minimize any negative information as you work through this difficult time. Then your credit history will speak for itself and you won’t need a statement.

Thanks for asking.

- The “Ask Experian” team

Our policies for Ask Experian:

The information contained in Ask Experian is for educational purposes only and is not legal advice. You should consult your own attorney or seek specific advice from a legal professional regarding your particular situation. Please understand that Experian policies change over time. Posts reflect Experian policy at the time of writing. While maintained for your information, archived posts may not reflect current Experian policy. The Ask Experian team cannot respond to each question individually. However, if your question is of interest to a wide audience of consumers, the Experian team will include it in a future post.