Income Verification when negotiating settlement?

Yes, the bank may ask you for your income details before they can come to a settlement agreement with you. However, you should avoid disclosing sensitive information like your social security number with the creditor.
Since you have already authorized the credit card company to debit money from your checking account, the creditor will continue to do so. You can stop them only if you close your checking account or ask the bank to stop making further payments to the credit card company. You need to visit the bank for this.

In my opinion, your income is just a sensitive as your social security number. I would not disclose either one. Plenty of collectors settle all the time without that information.

They already have your SS #. If comes with the file information from the credit app plus it appears on your credit report which they probably have pulled. So they already know most of your bills already.

Exactly, they already have my SS#. However, a credit report does not disclose salary information, does it?

I would not provide ANY income information, bank account information, budget, or anything to a creditor. It's very clear when they call that they say "information collected will be used to collect a debt". I do not plan to give them anything that could be construed as a reason to make a payment or give them a reason to want to sue me. Not that I have anything really, but you never know what their "black box" will say after they get your personal finance information.

And in my experience, only my mortgage and HELOC lenders have asked for this. I've told them both to pound sand. And the HELOC lender is still working with me to reach a settlement... So it must not be necessary to reach settlement with them.

i just posted on another post similar to this, do not give them this info. it will only hurt you and yoru settlement process. all they need to know is that you got more going out then comming in and are almost bankrupt. period.