Settlement Letter Requirement?
Date: Wed, 08/18/2010 - 19:53
I'm close to settling with a couple credit cards. Discover in particular says that they will only send me a settlement letter after payment has been made. Is this normal?
I'm also getting close to the cut off date to settle with Advanta. Because the deadline is approaching, they said I may not get the letter in time before the deadline and that I should make payment now or else the offer could be voided.
What do you guys suggest?
Thanks
I'm also getting close to the cut off date to settle with Advanta. Because the deadline is approaching, they said I may not get the letter in time before the deadline and that I should make payment now or else the offer could be voided.
What do you guys suggest?
Thanks
Quote:I'm close to settling with a couple credit cards. Discover
Quote:
I'm close to settling with a couple credit cards. Discover in particular says that they will only send me a settlement letter after payment has been made. Is this normal? |
Quote:Originally Posted by SCNo, you should first get a settleme
Quote:
Originally Posted by SC No, you should first get a settlement agreement letter, and then make the payments. I think you yourself can send them a debt settlement letter. If there's serious shortage of time you can fax the letter to the creditor. |
Always, always get a settlement letter, even if they have to fax it to you. Otherwise you have no proof of the arrangements and they can do what they please. No letter; no payment....call their bluff.
Quote:Originally Posted by tyggerI'm close to settling with a co
Quote:
Originally Posted by tygger I'm close to settling with a couple credit cards. Discover in particular says that they will only send me a settlement letter after payment has been made. Is this normal? I'm also getting close to the cut off date to settle with Advanta. Because the deadline is approaching, they said I may not get the letter in time before the deadline and that I should make payment now or else the offer could be voided. What do you guys suggest? Thanks |
tyg..... a "settlement" letter is one that shows that you have successfully settled an account. An "agreement to settle" spells out the terms of a proposed agreement that will need to be satisfied. So, they will not give you a settlement letter until after the fact but you should insist that they spell out the terms of the settlement up front.
Thanks for the info. I will call to ask them to fax or mail me a
Thanks for the info. I will call to ask them to fax or mail me a agreement to settle letter first.
If I send them a letter, how does that prove that they agreed to the settlement terms? Thanks
Quote:Originally Posted by tyggerThanks for the info. I will cal
Quote:
Originally Posted by tygger Thanks for the info. I will call to ask them to fax or mail me a agreement to settle letter first. If I send them a letter, how does that prove that they agreed to the settlement terms? Thanks |
It doesn't. They own the debt. While you may choose to communicate in writing and perhaps make an offer to settle, they must spell out their terms in an offer and your acceptance becomes the payments you make.