How do i clear a bad credit record?

my boyfriends brother had a home phone bill in my boyfriends name and never payed the bill we are tring to get a home loan and we found this out. So he moved from this house and its been yrs and the phone co. no longer exists. so we dont know how to (pay) take care of this bill. we tried calling the phone co that they joined with and they dont know how to help us. and we're not sure who the collections agency is that has the claim please help.How do i clear a bad credit record?
Get a credit report from all three of the credit bureaus, they are free if you havent gotten one in last year from AnnualCreditReport.com (make sure it is THIS site, others will charge you). Once youve gotten the reports, find out the collection agency, make a deal, make a payoff. Unfortunately you may be stuck with it for 7 years after it has been closed, but you can write a letter to each company to attach to this account explaining the situation.



Also, make sure your credit reports are accurate, that everything is up to date. Fix those things that are 7 years plus, etc.



This will begin to get your score back up. Also get a lawyer and get your phone $$ back...How do i clear a bad credit record?
How old is the phone bill?



If it's more than 6 years, it's going to be erased soon from the credit report.



And I don't think your bank will refuse a mortgage for this situation - if it's the only bad item in the credit report.