Skip to main content

How To Get Creditors To Settle Credit Card Debt

If you are feeling the pressure of credit card debt, this session on how to get creditors to settle credit card debt is for you. Let's face it; your Debt Problem is not going to simply go away. As it stands, you are probably being bombarded or harassed by one or more debt collection companies.

Learn How To Settle Credit Card Debt

With the new Predictive Dialer phone systems, debt collectors can program their computers to dial your number(s) a dozen times a day or more and walk away. That automated dialer will keep calling you, until you either answer and follow the instructions or change your number.

Let's examine how to stop the aggravating debt collection calls and put a stop to the dunning debt collection letters by using the increasingly popular, "Settle Credit Card Debt" option.

What Does It Mean To Settle Credit Card Debt? 

In case you don't know, (some people are not familiar with the term) I need to define what it means to settle credit card debt. If you owe $9867.65 on a Visa Credit Card and you have went over a year without making a payment. Most likely that account has been charged off by the original bank and turned over to a collection agency.

Once that happens, both the original creditor and the debt collection company realize their chance of receiving ANY payment is pretty slim. That's why the debt collection company offers to settle the debt right out of the gate.

They normally send a letter stating they have bought the debt and they list the amount of $10,167.65 plus a ton of other ridiculous fees and then they offer to accept an amount of $3675.00, if you call or send in the check that DAY! That offer reveals a number of clues to help you successfully craft your own "Settle Credit Card Debt" offer. The first and most crucial clue is; they are more than willing to settle credit card debt! The second clue is; the amount of the initial offer reveals you can probably settle somewhere in the range of 65% to 80%.

You need to know that the path to settle credit card debt is a great way to resolve your debt problem. In the same token, you also need to know; this path might not be a walk in the park. It will involve dealing with hard nose and arrogant creditors and debt collectors. Some individuals will conduct themselves and talk to you as if they are in the Mafia.

During the process you may be threatened with being sued and wage garnishment and they may even claim they are going to have you arrested. They are going to attempt to play Jedi mind games on you to make you feel guilty about not being able to pay in the first place. You will probably have to go through multiple rounds of negotiations before they accept an offer you can afford and all of this usually won't happen overnight.

If you're asking yourself, "Is it worth the hassles?" If you want to end your debt problem and get on with your life, it's worth the hassles! Dig in and become resolute that you are going to get this DONE! Here are the steps you'll need to take to get creditors to Settle Credit Card Debt.

Settle Credit Card Debt Step #1 

Determine the amount you can realistically afford to pay. In other words, if a creditor agreed to settle today and gave you ninety days to complete the payment, how much could you afford? If your answer is NOTHING, you are not quite ready to settle credit card debt.

You cannot come to the negotiation table with zero funds. Optimally, you want to be in the 50% to 80% range. The rule of thumb is; the longer the account has been past due, the greater the discount.

Settle Credit Card Debt Step #2 

Contact the creditor by submitting your offer either via snail mail. This next point is crucially important, do not attempt to negotiate over the TELEPHONE.

The key to successfully negotiating with your creditors is not allowing them to pressure you with their strong arm collection tactics.

Be clear on this, their mission is to intimidate and browbeat you into accepting an offer you cannot afford.

By restricting the communications channel solely to the mail, there is no chance of them tricking you to engage in a war of words. If they request a phone number to speak with you, politely advise them that the mail is the only form of communication that you have to settle this matter.

Settle Credit Card Debt Step #3 

Now we do the settle credit card debt dance! Now that you've submitted you offer to settle, the negotiation process begins. This is the stage that you gently make your position crystal clear by insisting that you cannot settle for more than what you have offered. REMEMBER, time is on your side!

Need Help In Settling Your Credit Card Debt? 

If you need help with negotiating with your creditors, that's understandable! Especially if you have over $15,000 in credit card debt. The rule of thumb is; the higher the debt amount, the higher the stakes and the more adversarial creditors will become. If you are looking at $25k and up in credit card debt and want to avoid bankruptcy, you may need debt settlement help.


Popular posts from this blog

What is Wage Garnishment?

Having your wages garnished is a very difficult thing. You work hard to pay your rent or mortgage, the utility bills keep going up, and sometimes you don’t even know if you are going to be able to put gas in your car. You have a family to support and living paycheck to paycheck, hand to mouth, is killing you. Then the unthinkable happens! Your employer starts taking money out of your paycheck. When you go to Human Resources, they tell you there is nothing that can be done because it is the law. You’ve suffered a severe cut in pay just when you thought things couldn’t get any worse! You have to know: what is a garnishment and what are your rights?

Things You Can Do to Fight Wage Garnishment

Wage garnishment is a terrible thing to endure. You work hard all day and put in crazy overtime just to be told your hard earned money is coming out of your check. You knew you were being sued for a car payment, or because you had to move out of your apartment, or because the court wasn’t fair when it ordered child support or alimony payments. You just couldn’t afford what the court ordered, no matter how hard you tried. Plus, when your court date came, you went to work and missed it because you couldn’t get time off. Now 25% to 60% of your money is being taken out of your paycheck! It is not acceptable to you. You need to fight it or you won’t be able to put gas in your car to get to work in the first place. It is a terrible Catch-22.
Fight Garnishment at Work Get help from your employer. Go see the Payroll or Human Resources Department. They may be able to help. If you work for a good company, they want to help you and know that keeping you happy keeps productivity up. If this is yo…