Comments on: Can you negotiate settlement on credit card debt?

By: Spock (rhp)

Spock (rhp) — Wed, 19 Aug 2009 05:54:51 +0000

1. rarely … they’ve heard every possible reason at least sixteen times over

2. yes. it is called a charge off. if you were charged off on one credit card, how many other banks do you think would be interested in giving you another one — within the next 7 to 10 years??

3. in your case, it likely won’t work. you’d have to lie. and since they’ve heard every excuse and every lie already, you’ll probably be detected.

***
just pay up — honesty has a refreshing quality to it that pays dividends in the long run.

By: bdancer222

bdancer222 — Sun, 16 Aug 2009 14:39:58 +0000

Yes you can negotiate settlement for less. You will get a 1099 for any forgiven amount over $600 (I think that’s the amount) and you will have to pay income tax on it.

If you are current on your credit card account, it is unlikely the credit card company will be willing to settle for less, particularly 1/3 less. It is more likely to work out a settlement on past due or accounts in collections. The older the collections, the more likely to settle for smaller amounts.

And the credit card company can note on your credit report that the account was settled which could affect your credit. Of course, the account would be closed.

You could call and make a settlement offer but unless you are a skilled negotiator, I don’t think you’ll be able to work out a settlement on an account that isn’t passed due.

By: credit king

credit king — Fri, 14 Aug 2009 18:47:16 +0000

The account has to be charged off. and the amount that is usually dismissed is the interest and legal fees that have been added to the total.

Is the card in good standings? If yes than the answer is no.

By: Misery

Misery — Wed, 12 Aug 2009 07:29:02 +0000

I don’t know if you, persoanlly, can do it, but credit counselors usually have luck adjusting them. I tried once and they wouldn’t budge for me.