Hello I am new to this forum and have some questions about debt settlement. I have about 30000 in credit card debt that is in collections. It is between about 10 different accounts. I have retained a bankruptcy lawyer and am now having second thoughts about bankruptcy and thinking of trying to contact the collection agencies and trying to do a settlement with each account. My questions are:
1. Is this worth even doing and would it be possible to negotiate with a collection agency?
2. What should I avoid saying or doing when contacting the collectors?
Any help or guidance is appreciated.
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.