I don't mean to aggressive, but so far no one here gave a straight or a clear answer. There is answer always follow a try to get help with debt consolidation companies. Please, a very simple question for those who went through this and are willing to help others here. What are the first steps to get out of debt. What types of letter should a person write to warn creditors that they are saving money to settle a account and what are the best ways. I am in NYC, but in general. Please straights from those who are willing to help. I was able to fix my credit score, because there were people willing enough at MYFICO.com to help. They went through and they shared the way to do best. I mean. If Debt Consolidation company can settle your debt, so can you. Please, What is the rules to do this system, and how to do it. Please do answer with a fague answer, because that is no help at all. Thank you.

Until you have around 40-50% of the balance saved up do not tell them you are saving money to settle. Depending on the creditor that can tick them off and they might escalate the account to legal dept . In the mean time when you receive collection calls log who calls what time and what the collector said. If they are breaking any laws that can be used as leverage later when it comes time to settle. All you need to tell them is that you are having financial difficulties and that you do want to pay them but you just don`t have the money right now. Stress to them that you you do want to take care of your financial obligations and you are not refusing to pay but just having a tough time right now due to the economy and gas prices and bla bla bla "what ever your hardship is". You are not lying but your are also not letting them know you exact game plan. When you have the money saved up to make some sort of a reasonable settlement offer then contact the creditor to start the negotiations.

What are the names of your creditors and the balances ?

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Thank you Mobile. Simple question with a simple answer. I like that. Straight foward.
Here they are:
Capitalone: $4,873.70
capitalone $641.50
shopNBC $3443.10
GEMB $2619.68
HSBC $ $677.69
Discover $3300.52
CITI $2205.64
capitalone loan :$6712.14
I live in NYC.
Ok. NOw! How do I do this? I am putting 600.00 on a high yield account. Do I start settling with the higher accounts or it does not matter? You are my man Mobile!! I know you can help me!! Thank you. Should ask them to close the account so it does not add interest and late fees or it automatic happens?

I would go ahead and close the accounts but they will still add the late fees , penalties and interest.

The most aggressive creditor is Discover followed by Capital One and Citi. The other two cards HSBC and Ge money "shopNBC is backed by GE money " should be easy to settle. I would likely start with the HSBC because it should be easy. I would then probably start with Discover and then start focusing on the smallest capital one account . Once you settle all the capital one accounts just pick and choose the rest. This plan is not written in stone though. If a creditor gets super aggressive you can always change the game plan and settle that aggressive account.

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