Why can't I pers arange a debt settlement with my creditors
Date: Wed, 01/14/2009 - 08:33
When I do this gree Path told me my debt is to large for them to settle and try towork with the indevidual creditors individually. So here I go again. I have talked to debt settlement companies and The way their programs work I will be fielding harrasing calls from my creditors because no payments will be given to them until I reach A reserve in my set-up accaount.
What can I do convince mycreditors and pay them something each moth with aprogram I set up with them. Why are they so willingly settleing with debt settlement companies on40 to 50 cents on a dollar after 2-3 years instead of receiving money monthly? This just does not make sense to me.
If you can help me with how I can convince my creditors to set up a program with me and avoid the middleman.
Welcome to the Community :D Can you give us a little more info
Welcome to the Community :D Can you give us a little more info such as:
!. Are the debts still with the original creditors?
2. Are you behind on payments yet, if so, how far?
3. Who are the companies you are dealing with, and what is the balance of your cards?
This will help us get you in the right direction for help.
I worked with my creditors, it took a lot of hounding them on my part, but they finally gave in. Some lowered the interest and a few dropped it, but I paid them off instead of settled, so I don't know if this makes a difference. Feel free to ask questions..karen
Unfortunately, creditors won't "settle" unless you haven't paid
Unfortunately, creditors won't "settle" unless you haven't paid for several months. They feel if you are current on your bills, you can pay. Once you haven't paid for a while, the strategy is to save that money aside every month and use that for settling the accounts a few months down the road. You can settle your debts on your own as well, without going through a company. The calls are going to happen whether you are with a debt settlement company or settling on your own, though. There's no way around it if you go that route. But settlements, in general, are a last resort before bankruptcy and not a "quick fix". Be sure to look into debt management or debt consolidation plans before you go the settlement route.
Hi busiakasper :) apart from the above suggestions, you ca
Hi busiakasper :)
apart from the above suggestions, you can also go through the following urls which will help you to deal with your creditors.
http://www.debtconsolidationcare.com/contact-creditors.html
http://www.debtconsolidationcare.com/collection-agencies/negotiate-interestrates.html
You're refered to credit counseling because you're paying the en
You're refered to credit counseling because you're paying the entire debt back in full. Debt settlement works because typically the debt is purchased by a debt collector once you're behind and the original creditor slashes it off their books. Let's say for example is sold for 10 cents on the dollar. If you get a 40 cent settlement, they've just made that difference in profit. If you are already behind, let the debt season more.
