In the process of settling your debts, the most important part is to chalk out your payment plan. It is very important for you to formulate a strategic payment plan which will suit the creditor's requirement and also be within your affordable limits.

• Negotiation of Interest rate: Negotiating the interest rates on your payment plan can save you a lot of money. Be serious while negotiating but try not to be over persuasive. Try and shell out as much cash you can in order to reduce the principal debt amount. If your repayment plans are within 6 months, there are high chances of your interest rates getting eliminated. Even if the payment plan exceeds 6 months you should keep trying to lower the interest rates during the repayment process.

  In case you don't have enough funds, here are some ways by which you can settle your debts:

• Automatic Savings deposit: This means requesting your bank and setting up an automatic transfer from your checking account to savings account. This can also be done from any other account where there is monetary transaction. Allow this money to accumulate and wait until you have a bulk amount to pay. On the other hand your unsecured payments can wait for a while. When a considerable amount of money is saved, a debt settlement program can be completed for one of the accounts.
• Old resources can be helpful: Take the aid of old savings accounts, stocks, bonds, mutual funds and other former investments. By getting into the negotiation process with lump sum money you will be saving a major amount which can even go up to 50%. Remember, in today's financial scenario getting even 10% returns on your investment, is considered as a great deal.
• Seek help from near and dear ones: People close to you will surely help you during your crisis. So don't hesitate and ask them to help you. Family and relations can be amazing pillars of strength if you have a clean record in the past.
• Retirement benefits & Insurance schemes: The taxes on your retirement funds like IRA, SEP account, annuity or trust fund or any other type will be less than any ruined credit report. You can always borrow a fair share from the insurance policies and repay your debts. The good thing about it is that you don't have to repay it. Moreover, the amount you withdraw is only deducted from your total policy amount. Keep this in mind while utilizing the retirement as well as the insurance funds.
• Use your Assets: Utilize your valuable assets during your crisis moments. If you possess any valuable assets sell them to procure funds. The money will matter a lot to settle your debts and get freedom from creditor hassles. If you have a lot of assets and ask for debt settlement the creditor might sue you to get the entire debt amount without any reduction.
  
  
• Look out for extra income: Try to get a second job and increase your earnings. Look out for part time jobs after your normal office hours. This will help you to make more money to meet the debt settlement requirements. But above all you need to budget your expense carefully which will not only be more helpful in paying back your debts, but also help you in the long run.