trying to settle on credit card debt?
Date: Sun, 03/18/2007 - 12:28
I am new to this forum... I have a few credit card accounts, most of which are all current, and while close to maxed out, none have any late payments (those all amount to under $4000). However I have one account that got out of control with fees and interest rates after a routing number mistake so I stopped paying on it out of frustration (my first mistake) So anyways it's now at $9555 and I recently called them, Bank Of America, and they offered to settle with me for $2900, due tomorrow. I have been saving up for this and I have $2100 so far. I called and they said if I make the payment for $2100 monday, I would still be okay by making the other $800 before the month ends. So my question is... because the letter I received says $2900 on 3/19/07 but I am only making partial payment... does this make the letter no longer valid? Will they take the money and not clear my account like he verbally agreed would be fine?? And also is this even a good option for me? I want to have a positive credit score but this credit card is stressing me out and I want it over with. Also how would I prove inolvency to the IRS so that I do not have to pay taxes on this forgiven debt? I do not own anything. :oops:
Be sure to get the receipt from BofA after doing the partial pay
Be sure to get the receipt from BofA after doing the partial payment. Show them the copy of the settlement letter and make them write that you will owe $800 after you have paid $2100 on the date. This is only way by which you will rely on the settlement proposal
