Credit card debt cancellation letter - You cannot simply stop paying credit card debts you had accrued. Even if you send your credit card company a ca
If you want to chargeoff a credit card account, you can negotiate a payoff settlement with the credit card company. Of course, this will likely harm your credit score. You can directly negotiate with a credit card company, or you can have a 3rd party debt settlement company do it for you.
Do It Yourself Free Debt Settlement - By doing this yourself, you can avoid having to pay debt negotiator fees. But on the other hand, a debt negotiator may be able to get you a larger chargeoff than you could get, depending upon your negotiating abilities.
Debt Settlement Company - By having a professional debt negotiator, not only may you get a larger chargeoff, but they will also do all the paperwork for you. Naturally, there is a cost for their services.
If you do it yourself, you can contact the credit card company by phone and speak to one of their customer service representatives. Explain how you are unable to repay the balance and negotiate a chargeoff amount. Once you and the rep come to an agreed amount, send the letter below BEFORE you mail in your final payment. Wait for a confirmation reply by mail, then send the company the full amount you had agreed upon.
Sample Debt Settlement and Negotiation Letter - The sample letter below is intended to be used as a comprise letter to creditors.
We recommend that you send the letter via certified, return-receipt US mail.
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[YOUR NAME]
[YOUR ADDRESS]
[CITY, STATE, ZIP CODE]
[DATE]
[CREDIT CARD COMPANY NAME]
[ADDRESS]
RE: Acct.# [CARD ACCOUNT NUMBER]
Dear [CREDIT CARD CUSTOMER SERVICE NAME],
As we discussed, this letter is to confirm closing of my account for a settlement payoff in the amount of $[DOLLARS].
Additionally, we agreed you will report this action to any and all credit reporting agencies as: 'PAID AS AGREED' or notify me in writing that you agree to delete this item from any and all credit reporting agencies.
I AM NOT agreeable to accepting a 'PAID P & L' or 'CHARGE OFF'.
Upon receipt of your letter I will forward you a cashier's check or money order in the amount of $[DOLLARS].
Yours Truly,
[YOUR SIGNATURE AND DATE]
[YOUR PRINTED/TYPED NAME AND DATE]
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