Settled vs Paid as Agreed

Greetings Herschen,

Your credit score will take a hit for sure.

But only you can decided what's more important at this stage of the game, a credit score or debt freedom.

I can't tell you how long it takes to rebuild your score but it's doable.

As far as settling, boa the snake was among my easiest, citi wasn't too difficult, amex can be trying and discover is tough. Just my own journey.

Are you behind in payments?

Good Luck,
King "Kash" Jabba Labba

King Jabba..can you remind me again what settlement you got with BofA "the snake"..sorry don't have tons of time to go find it...:> thanks!

I am not behind on any payments. I am paying the minimum. I am going to save up and then stop paying when I have enough to negotiate with. Thanks for your insight.

Just another thought...I had savings when I was still current but I did the math at how much more savings I would have if I stopped paying. It will take 3 to 6 months to settle. In my case we are paying $2,000 a month in min credit card payments. So when I stopped I was able to SAVE that..savings builds up pretty fast when you aren't paying the min..

I do not agree with the concept of saving for a settlement while paying the bill. That is sort of a planned default. In a general sense, when our situation changes so that we cannot pay the bill and are forced to default it becomes reasonable to settle. I am not going to preach too much morality here, because I defaulted when I never had in my life. But I will say that any planned default, such as taking an advance and putting it under your mattress until you default in order to profit does rub wrong with me.