creditcard negotiating impact on credit rating

Hi dhlaw

Welcome to the forums

The form letter which you will use will not hamper your credit score nor will it hamper your credit report. This letter will help you to communicate in the right manner with the credit card companies.In addition it will help you to get a proper reply from the credit card company. All credit card companies are separate entities.

Hope you will find this answer useful

Regards
Peter

Hi dhlaw

Welcome to the forums. It is nice that you are concerned about clearing off your past debts. After negotiating with your creditors for a reduced amount, make sure that you do not default in making payments in the future. This will otherwise create bad effects in your credit report.

The creditors will be willing to reduce the financial charges and/or the late fees as they are interested in getting their money back. A perfect negotiation with your creditor will result in clearing off your past debts successfully.

For writing a formal letter to any of the agency and getting useful tips, please visit the letter section in this site.

http://www.debtconsolidationcare.com/letters/

Regards
Roxette

Peter
Is there a range to offer in paying off the balnce that is more likely to get accpeted than another?

Is 50% a non-starter yet 60% is much more likely. I realize all credit card companies are different - but is there any trend you could describe?
thx
dhlaw

Hi dhlaw

It is nice to have you back in the forums

When you will negotiate with your creditors they might agree to reduce your interest but they will not waive your interest. It is because interest is one of the main sources of their income. They will try to retain the major portion of their income. It might also happen that they disagree to waive or reduce your interest. In that case you have to pay off the principal as well as the interest. So it will be better to take the help of a debt consolidation company and register yourself in the debt consolidation program. The debt consultant will negotiate with your creditors and they will be able to reduce your interest charges to huge extent. Further they will eliminate your late fees and will prepare a repayment plan which suits your pocket. This site has a signup form. You can fill in your details in the form and a debt consultant of your locality will get in touch with you within a short span of time.

Hope you will find this information useful.

Regards
Peter

Peter

Thank you for your quick response.

But now I am confused. The form letter on your web site says ..."If you could close my account, waive future interest payments and accept a new balance of <50% or whatever you propose> of what I currently owe, I can afford to make a monthly payment of $__________. "

Your response says that they will not do this.So --- simply what will they do for a credit consultant that they wont do for me??? Is the form letter a proper indicator of the possible solutions or not?

With all due respect I have found conversations with credit consultants to be not very reassuring that they can tailor a solution that best fits my situation.
thank you
dhlaw

Hi dhlaw

Let me try to explain a bit in your doubts. The baseline to clear the debt with the creditor is to offer a payment plan to them as they are also interested to recover their money granted to you. Now, it all depends upon the skillful negotiation with your creditor which will result in the reduction in the amount of debt.

The amount of debt cannot be reduced but what the creditors can look at is the amount of interest in the form of financial charges, late fees accrued in your total debt. Moreover, since you are using revolving credit to pay the debt, the rate of interest can also be negotiated. Your negotiation is the crux that can substantially reduce the total amount of debt.

I recommend you to go through the "do it yourself" section in this site for a complete guidance which will help you to do proper negotiations.

http://www.debtconsolidationcare.com/diy/

I wish that you get positive result of your dealing and do let us know the result of it. But, if at any point of time, you seek professional help, then do not hesitate in working with the debt consolidators as a good company hires a good professional trained to handle such situations. Not all companies are big names and so not all consultants can deliver the best of the results. There are differences and you can try the consultants working with us. And most important, their counseling is completely free of cost and you don't have to spend a singly penny on it. You just need to register yourself with this company by entering your contact information in the sign up page and that is it! We will take care of the rest of the things.

If at any point of time, you need further assistance, please do not hesitate in pointing it out.

Regards
Roxette