Short answer
Debt settlement is negotiating a payoff for less than the total balance you owe, which the creditor or debt collector agrees to document and accept as payment in full. It works for the right person and the right situation, and it does not work for the wrong one. This guide is built to help you tell which you are.
Key points on this page
- A settlement is a lower payoff amount, documented and accepted as payment in full, paid either in one lump sum or over time under a term agreement.
- The three common solutions in one line each: credit counseling is “what can be paid should be paid”, debt settlement is “paying something is better than nothing”, bankruptcy is “what cannot be paid will not be paid”.
- Most people looking at settlement are in the middle. They cannot fully afford the debts they have, can afford something, and would rather handle it outside bankruptcy.
- Settlement is a way to resolve a debt for less at every collection stage: the bank’s own recovery department, a collection agency after charge off, a collection attorney, or a debt buyer that bought the rights to collect.
- Most of what happens is controlled by the policies and procedures your creditor or collector has set. Knowing them in advance lets you plan the money for the settlement opportunities as they come.
- Credit cards are the most common debt settled this way, but the same guides apply to business debts, medical bills and personal loans. CRN has provided this education and these services since 2004.
Welcome to CRN’s Debt Settlement and Negotiations Guide. This guide makes up the largest portion of the debt relief and credit guides published on this site. That’s because debt settlement does not fit into a tidy package like consolidating credit cards, consumer credit counseling, or bankruptcy. I thought it important to have an introduction to debt negotiation due to the amount, and variations of content, you will find here.
The concept of settling unpaid debts, like credit cards, is not overly complicated, though it is certainly something that cannot fit on a single web page. And once you introduce the different stages of debt collection; and how to negotiate with debt collectors vs settling with your bank; or outline what you can do when settling collections in the court; the content for the debt settlement guide grew larger, and continues to expand.
Credit cards are the most common type of debt that can be negotiated and settled for less than the total balance owed. Much of the debt settlement guide focuses on this from of unsecured debt for that reason. But there are many other types of debts that the guides can be applied to. You will find guides related to settling business debts, medical bills, personal loans, and more, throughout the site.
Get the Most Out of This Debt Settlement Guide
We highly recommend you read through the debt settlement program in order. This will allow you to gain the maximum level of understanding of what credit card debt settlement is, how it will work in your specific situation, when settling debt works best, or even why you might want to avoid debt settlement all together. This recommendation includes any of you reading who may have committed to settling credit card debts that you stopped paying some time ago.
Following the recommended outline for settling credit cards is suggested because:
- Debt settlement, as it is explained by the media, and what is probably more than 10,000 websites, often does not scratch the surface of the topic (it cannot be explained sufficiently in a single article).
- A debt settlement company selling their program to anyone who will listen will often fail at giving you a detailed outline of what they are trying to sign you up for. Opting instead to put profit or sales commission goals in front of your need to be adequately informed.
- You should understand the fundamentals of settling debt so you can weigh the benefits and the drawbacks with clarity – before negotiating and settling debt yourself, or hiring a professional.
Following the way we have laid out this section, no matter what stage of collection you might be in (and especially if you are still current with payments to creditors), puts you in the best position to succeed with debt settlement.
Once you complete your review of our debt settlement guide, you will know more than the majority of sales people who are the front line for selling debt negotiation to the public.
Before You Jump Into Debt Negotiation
CRN advocates settling credit card debt as a personal financial solution. We have provided debt settlement education and debt negotiation services since 2004. We are good at it. We have made our customers, members, and readers good at it. We are also not your Aunt Mildred’s debt settlement company (no offense Mildred).
We have decided to create and publish the online debt relief program for many reasons. We may fully lay out more of the reasoning in a later update to this section, but for now, here is some of the considerations we have in doing this:
Debt settlement works for the right person and the right situation. Debt settlement does not work for the wrong person, nor does it work well for the wrong situation.
We decided to create and publish this guide so that you can tell the difference between whether settling credit card debts is right for you, and if it is, when, why, and how much of your money to put into this method for resolving debt. We hold nothing back. We offer our support freely to the public through dedicated feedback in the comments on virtually every page of the site, and on our DebtBytes YouTube channel.
If we can save you from making uninformed debt and credit decisions that can hurt, rather than help you, we want to. If we can save you money when you settle credit card debts, we will.
What is Debt Settlement?
Debt settlement is what happens when you negotiate a payoff for less than the total balance you owe on a debt. The lower payoff amount will be something the creditor or debt collector agrees to document and accept from you as payment in full. The lower negotiated amount should be something you can afford to pay in one lump sum, or over time if it is a term settlement agreement.
Negotiating and paying a lower amount to settle debts you are already late with is very common. There are elements to settling some types of debts that you can set your clock to because the process can be highly predictable. And there is both safety and comfort in this predictability.
Settling credit card bills, and other debts you cannot afford to keep up with paying, is a pretty straight forward concept. And so is determining whether settling with creditors and collectors is right for you. Let’s start by narrowing down the basic principle of the 3 most common debt solutions to one sentence each.
- Consumer credit counseling and payment consolidation is based on the principle of “What can be paid – should be paid”.
- Debt settlement is based on the principle of “Paying something – is better than nothing”.
- Bankruptcy is based on the principle of “What cannot be paid – won’t be paid”.
If you are looking at debt settlement as a way to deal with problem bills, it is likely because you are in the middle. You cannot fully afford the debts you have now, but can afford something, and would prefer to manage the situation outside of bankruptcy.
How Debt Negotiation Works
Each of your credit card lenders will have a policy for how they handle collecting on accounts that go delinquent. Some of these policies include:
- Getting you back on track by offering reduced payment hardship plans that may be temporarily extended to you for 3 to 12 months, or applied over the life of the balance in a 5 year payback schedule. Read more about credit card hardship payment plans.
- Debt collection efforts internal of the banks own recovery department.
- Charge off your debt as noncollectable and place your account with a collection agency who will bug you over the phone and through the mail to get you to pay.
- Placing your account with a debt collection attorney.
- The legal rights to collect from you could be sold to a debt buyer.
Debt settlement is a method to resolve unpaid credit card bills for less in every one of the scenarios above. That’s as complicated as the debt settlement process will ever be.
It’s the “how will debt settlement work for me” and “is debt settlement even for me” questions that make for the details.
Is Settling Debt Right For You?
Ahhh… the details. Yes, getting the best deals, and the most from settling debt, is in the details. And the details when negotiating and settling can change from one creditor to the next; from one collection stage to the next; and most certainly from one personal set of financial concerns to the next.
The majority of what happens in the process of settling credit card debts is controlled by the policies, procedures and protocols that are set up by your creditor or outside third party debt collectors. Knowing the policies and procedures for each of your accounts you will settle, in advance of the settling, is a huge benefit. You simply plan ahead financially for the settlement opportunities that will be presented, and make the right moves along the way.
You can use this site to help you settle your debts on your own. We offer upfront education about the debt settlement process, supplemented by on the ground and “right now” details provided free in the comments section of this website. And you can get one on one dedicated professional feedback by requesting an expert debt settlement consult over the phone.
We know that many people are freaked out by the concept of negotiating and settling credit card debts on their own. You also have access to professional debt negotiators, and often at the most reasonable cost found in the industry. If you would like to talk to me, Michael Bovee, about that, you can reach me at 800-939-8357, choose option 2.
In the next section I will bluntly outline who debt settlement is right for and why debt settlement is a race. You may already be in the race and not know it.
Continue on in the debt settlement guide to How and Why Banks Settle Credit Card Debt with You.
As you will see throughout the site, I respond to reader questions and comments throughout the day, so feel free to post below for feedback.
This Debt Settlement Guide includes:
An Expert Guide to Credit Card Debt Settlement (you are here)
How and Why Banks Settle Credit Card Debt with You
Types of Accounts to Include in Your Debt Settlement Plan
Why Settling Credit Card Debt is Like a Race
How to Settle Credit Card Debt Quickly
How to Talk to a Debt Collector
How to Negotiate Credit Card Debt Successfully Yourself
7 Largest Credit Card Banks and How They Settle Debt
Get Debt Settlement Letters and Agreements from Collectors
Paying Debt Collectors After You Negotiated a Settlement
Came to a settlement agreement verbally with Barclays back in February. Called weekly asking for settlement letter to be mailed and emailed but never received it. Payday came and went without it. I didn’t pay. Started a new job and put it on back burner. Now I reached the same agreement and still no letter after 2 weeks. Trying to figure out how to proceed. Should I call again and record the details and then pay so I can move on in case they give me problems? Also they say they only accept payment via check or money order to a PO Box no ACH or debit card payments.
Are you speaking directly with Barclays, or a collection agency they placed the account with?
How late are you with payments?
If you call again to get a new letter with a different payment date, see if they will fax instead.
You can get a free trial fax number at http://www.efax.com if you do not have access to one.
Anyone that must mail the agreement letter I try to get the settlement done by mid month given how long it is taking regular mail to be delivered.
Directly with Barclays. 4 years since last payment. Shows as a charge off on report. They had sent it to ameritrak, but when I called them they said it was back with Barclays and that’s who I negotiated it with. Thank you.
Hello Michael,
Thanks for all the help you offer so many people.
All of my credit cards and bills are current, but Covid-19 really took a bite out of our monthly income, and so out came the credit card purchases back in 2020, and voila, the CC companies are getting richer by the minute on an economic downturn!
Recently I took a relief payment plan from Wells Fargo for the Cash Wise CC for 5 years, now with a lowered 1.9% interest rate (the original was like 26%!). Currently owe around $8000 on that. Part of the deal was to close the account and that’s fine since I don’t want a CC at that rate anyway.
Also just took a 3 yr relief program with AMEX Gold card at 4.9% which I’m planning to pay off quicker ($8000). Charging privileges suspended but hey that makes perfect sense if you’re trying to pay off debt!
My issues are with these 3 credit cards:
Chase – $12k balance @ 17.49% APR = $180 interest
Barclay – $8K balance @ 16.49% APR = $107 interest
PNC -$9K balance @ 17.49 APR = $130 interest (all 3 APR’s are from one CC)
$1.5k balance @23.49 APR = $29 interest (cash advance, probably from autopay overdrafts)
$1.4 k balance @8.99 APR = $11
In total, we’re looking at over $450/month interest charges! Hard to make big dents when a good chunk goes to their pocket!
Called PNC, and they do not adjust rates on the Core card, so says the rep!
I haven’t checked with Chase nor Barclay after reading in numerous places that they won’t adjust rates either.
While I do pay above all the minimum amounts due, I can only stretch so far!
Any suggestions as to a method of clearing these balances quicker, bringing those rascals lower somehow or
another way, other than living with these exorbitant interest numbers biting into monthly payments?
Thank you for any help you can offer me!
Chase and Barclays regularly enroll account holders in lower payment plans like your other cards did. Check out the details I share about credit card hardship plans.
There are instances where you want to be late a few days on payments before you call and talk to them about lowering your rates for the life of the balance.
The fastest way out of this would be chapter 7 bankruptcy or settling the debt. Check out this article where I review debt relief options for speed, cost, and access to credit.
Thanks for your reply. I had asked PNC for a reduced interest rate, not for a “plan”. I still presume they will not grant anything as I see you omitted their name in the list of cards you mentioned that do enroll.
After going through the material you highlighted, a few questions remain (bankruptcy is not something I would consider.) If I were to ask Chase or Barclay for a temporarily reduced APR as an option, what’s the likelihood that it would be granted? And if it were, what are the chances they would return the accounts to the current rates (which are somewhat towards the lower side)?
If I ask them to lower the rates for the life of the balance, is that different than asking for a temporary reduction?
Must either of these requests be done only after one late payment? Can “late” qualify as just a day or two past the due date would work?
Would this type of request put me into their higher-tier APR’s automatically in the future (or even currently?)
I’d prefer keeping these particular accounts open because they may be needed for emergency things down the road.
In essence, which would you say is the safer (smarter) way to go? The potential benefit of getting a lower and livable APR’to pay off quicker on the one hand, or the potential denial, along with a possible tampering of my current APR and/or credit limits, or even their potential decision to close the account on the other?
Most banks that approve a temporary hardship revert to the prior existing interest rate when the plan expired.
The likelihood of getting approved for a temporary, or lifetime of the balance hardship repayment, is high when you are already late a few days. Less so if you are on time with all payments up to that moment. And I see people have just as much success with being 3 days late as I see with them being 3 months late. That said, if you are already showing 30 days late on your credit debt settlement begins to be a superior mathematical option to payment plans.
The difference between temp and long term hardships are largely:
1. Lower interest rates are more common with long term payments for the balance.
2. Your accounts are closed on the long term plans, where you can often keep the account going on the temp plans.
Each one of us will view this type of situation differently. It can vary widely depending on current and forward looking cash flow, credit related goals over the next 12 to 24 months, credit score hit tolerance, etc.
I do not see your interest rates being messed with immediately from this conversation.
Long term hardship plans mean losing the card. If I could avoid having to do that on my longest held credit card (that has the lowest interest and best rewards based on my lifestyle), I would try to prevent that one. But it could still make sense to do that for many of us.
Credit can be rebuilt with new accounts later, so I would personally make this about what mathematically benefits me and my goals the most.
How do I get a payoff on a collection?
Who is the collector or creditor you are dealing with?
Hello Michael,
I have a credit card that I have been paying the minimum balance on for years. However, last year I had a health crisis and lost part of my income (I was working a full-time job and a part-time job to make ends meet. When I got sick, I lost the part-time income, making it impossible to pay the full minimum payment on this credit card). So, even though I was making partial payments (after trying to get approval from the credit card company, who refused to commit to anything, but said I could try it), they turned me over to collections (without any notice).
Today I received my first debt collection notice. The amount they want is almost half of my yearly income, and I am barely able to pay all my other bills right now. What should I do with this debt collection notice? I’ve never received one before, and I don’t know what to do.
Thank you so much for your help.
Who is the original creditor?
What is the amount owed?
Are there other unsecured debts besides this one, and if so, what do they all add up to?
The original creditor is Citibank, amount owed $24,125.00. Total credit card debt is $94,979.43, plus $9400.00 medical bills.
Thanks. Have you looked in to whether you qualify for chapter 7 bankruptcy? It could provide a fresh start, and knock out over 100k worth of debt for 2k or less. Check out this debt relief comparison article.
Here is another comparison when using debt relief and your credit bouncing back.
If you would prefer to avoid bankruptcy, and want to limit the risks of being sued for this debt, settling for less would be an option. You are looking at needing around 40 percent of the balance, and with some monthly payment flexibility depending on the company collecting the debt.
Are your other balances current with payments, or behind the same amount of time as well?
Hello Michael
I was wondering if online loan lenders are more prone to suing? Avant, Lending Club, Upstart and Freedom Plus to name a few. I’d like to stay current on most of my credit cards but can’t afford the monthly payments anymore. I would hope to settle with the lenders within a year after situation hopefully improves.
Thank you
There are risks of litigation, but more from debt buyers than those named lenders.
I can talk through strategy with you to avoid those risks if you schedule a call with me.
Hello Michael,
I have a judgment against me, and my paycheck is currently being garnished weekly, at around $25-$30 per week (I don’t make much money, especially after child support). About a year ago, the creditor refused a lump sum settlement of around 75% of the balance. My remaining balance owed is around $500, so I’m around 4-5 months away from paying it off.
My question is do you think it’s safe for me to open a bank account without the risk of it being levied my them? I figure I should be safe considering the remaining balance is low and they’re getting steady money from me every week. I’ve been building my credit back up (over 700 now!) and would like to open a bank account to make it easier to pay bills and finance a car in the near future.
Thanks!
I do not see collection law firms try to levy a bank account when they have a wage garnishment performing its function.
Hey Michael, I’m in desperate need of guidance! First and foremost I want to thank you for the the resources you have available to read for all like me at no charge. THANK YOU!
I had a judgment against me just yesterday and don’t know how to settle this debt, The amount I’m due to pay is of 16k and some change,
I am paying a debt settlement company that has been successful in settling more than half of my debts but they pretty much told me they can’t do much with this one since it already has a judgement and I am in a state where wages can be garnished. VA. I’m a mother of 3 that made a mistake years ago and ran up this credit card, how can I possibly settle this with the these people, please help me with your knowledge. Thank you!
I have an article up about settling judgment debts.
Settling judgment debts works, but often at higher percentages. Can you pull together 80 percent of what is owed?
Hit biggest debt is from Barclay. My child has been in the hospital for months and I have not been working to take care of him. I am current on all of my bills but I can’t be after this month. I tried offering a lump sum payment to them and they just transfer me to a debt service for advice. What should I do?
You can schedule a phone call to talk strategy with me by clicking the Get Help tab at the top of the page or by calling 800-939-8357 ext. 2.
Hi,
My question is: Is there an optimal amount of time to wait after the last payment made to call and try to settle a credit card account?
I generally have found the earliest, and most opportune time to call to negotiate settlement, is after 150 days late.
Hello Michael, First of all than you for taking the time to respond to these comments. I am trying help my mom. She received a letter about a judgement she had against her that is now 16 years old. The original amount owed to Discover was only $8k but now since its so old they are saying she owes $30k!
My mom only has like $9k max to her name and we are unsure what to do. They sent a letter saying she can pay a lump sum of $24k or arrange a payment plan. She doesn’t have $24k as mentioned above.
Could we try to offer a $9k settlement as this is all the money she has?
What is the lowest you can usually settle for once it’s in the judgement stage.
This was a default judgement as my mom didn’t know what to do back in 2005 and this was also right after my father passed away so it was a difficult time.
Thanks again for any advice. The lawyer handling the case now is shafritz & associates.
Check out this resource about settling judgments.
What state does she live in?
Does she own a home?
Hello. I have a Wells Fargo business credit card that hasn’t been paid on in 2 years. My brother was using it and paying it until he didn’t. It is not on my credit report I think because it is a business credit card. The balance is 9K. They recently called to offer a settlement. They have not sent a letter or called until now. What % do you think they would settle for?
The settlements we see on Wells Fargo business accounts range between 30 and 60 percent of the balance owed.
If Wells Fargo has your account with a collection law firm the settlement amount could be higher.
There are instances where Wells holds out for detailed financial information related to the business and the personal guarantor before approving a settlement.
I tend to suggest getting help on Wells Fargo accounts.
You can schedule a call to talk strategy with me by clicking the get help tab at the top.
Michael, I’m currently 90days behind in Amex and I called zwicker and associates. Their best offer is 55% they say is Amex lowest floor. 22k and they will accept 11,900.
But they said I need to give them bank account info first before they can send me a letter in mail regarding settlement amount.
Should I just take the 55% now and call it a day?
Settling for 50% with a collection law firm is typically a decent outcome.
I would still want the letter before paying.
You can set the payment up for end of month, which will give time for the letter to arrive before the payment pull date.
What chances do you think if I call Amex themselves and offer 45%? Instead of 55% from Zwicker. Or will Amex not talk to me since they sent to zwicker?
Amex will direct you to Zwicker to resolve your account.
Hey Michael, we spoke a couple of weeks ago on the phone. I’m trying to settle with chase currently and I’m about 160days late now. I made the phone call today to offer 3k on a 14k balance and there asking for income after taxes and monthly expenses to look into my settlement offer. I would prefer to not disclose either of this to them as I’m prepared to settle with them cause my financial standing is now fine. Is this a necessary step, they also threatened to send me to an attorney. Thank you
It sounds like your Chase account is on the attorney track, or they likely would not have mentioned this.
I am finding settlements on accounts in this situation are between 35 and 60 percent.
If providing details they ask for will cause them to question offering any settlement, were it me, I would not provide that.
You may be stuck with less than optimal settlements in these scenarios, or wait for charge off, and see what can de done shortly afterward.
There are ways to do this still, but with assistance, and I understand you prefer to be DIY on this.
Hi!, I just received a letter from Midland Funding LLC asking for payment.
Since I didn’t know who they are I got a TransUnion credit report and noticed
they are there:
Midland Funding LLC
Placed for collection 07/03/2018
Balance: $2,338
Pay Status: In collection
I moved to Mexico in 2015, I have a Personal Mailbox (Nevada) as main address and still
do some remote work as self contractor that I receive into a virtual wallet and
then manually deposit into my US bank account, not much though, but it’s enough here.
How should I proceed?, will they sue me? can they levy my account?
What should I do if they sue me and I’m out of the country?
Thanks!
If Midland thinks you still live in Nevada, they may still try to sue you.
If they think you live in Mexico, I do not think they will try to sue.
If your account is not with an attorney for collection you can settle this favorably.
DO you have a goal to resolve this?
I don’t have a goal right now, this came out of nowhere, and as you can imagine, my live is very different now. Is there a way to let them now I’m out of the country?, I don’t have plans to come back in the near future. Thanks!
If it were me, and I were worried about being sued in the states when I am no longer here, I would call and tell them my new contact points, and my mailing address in Mexico, and that I do not intend to return.
I called Midland today and told them I’m out of the country. Thanks for the advice Michael!
Hi Mr Bovee,
I have a Credit One charge off showing a zero balance on my credit report, and I need it off so I can get a mortgage loan. I’m willing to pay it in full, but don’t know how to go about it. It was sold to Midland, who then took me to court for the $910, but I got the judgement in my favor and didn’t have to pay. Within 30 days the Midland collection was deleted from my credit report.
My question is will Credit One even take payment for the deletion of the charge off, or do I have to deal with Midland?
Talk to your loan officer for the mortgage.
Credit One is a zero balance charge off, who you cannot pay, as they sold the legal rights to the debt to Midland Funding.
Midland not showing on your credit means it should not flag anything for resolving prior to a loan going through.
If you have to resolve the debt with Midland, for some odd reason, in order to get your home loan through, you can call them to work this out.
Hello,
Found your youtube video and seeking your advice.
I filed bankruptcy in 2011. First and second mortgage discharged along with credit card debt. We wanted to keep our house and attorney advised to keep paying the first mortgage but not the second. So that’s what we’ve been doing for 9 years now.
However, the second mortgage lien originally with CitiBank, was transferred to a debt buyer, United Guaranty. So because of bankruptcy, they cant collect on the debt, but still hold the lien and wont release it. They could foreclose on the home, but unlikely since they would also have to pay off the balance of the first mortgage in order to start foreclosure proceedings. They send me a letter once or twice a year to settle. I send a written reply with a 10% of balance offer and never hear back.
If I ever want to sell or refinance, this lien will need to be settled. Luckily, I don’t need to do either, but I do know that down the road in 10 years or so, I may want to sell and move to a smaller home after I retire.
When the lien was transferred to United Guaranty, the balance was about $20,000. They have never offered less than $15,000 to settle the lien and they have actually sent letters stating a balance of over $45,000 with interest and fees.
I have my last statement from Citibank that shows the balance and always use that as my starting point with them.
During this pandemic, do you think the lien holder now would be more accepting of a settlement amount of 30% to 50% of the balance? I’m tempted to contact them and make one very good offer of $10,000 to settle and release the lien and see what their response is. However, since it’s been 9 years and they don’t seem very aggressive to collect, sue or foreclose on the house, perhaps I should just wait it out more?
I think things will get much worse related to mortgages in the near future. If it were me, I would wait until to home loan default numbers go way up after the different forbearance plans end. That could give you time to save up more cash too. Hopefully you hit your goal, but having more in case you need it is just good planning.
I have the below past due since 2017. In what order should I settle?
Chase
Discover
Macy’s
Barclay- mercury something now
Care credit
Bank of America
Volkswagen
Express
What are the balances owed?
Have any accounts gone to collection law firms to date, and if so, which ones?
Have any been sold to debt buyers, and if so, which ones?
I have no idea at this point. All stopped contacting me about a year ago. VW holds the highest balances
You can often see the balances owed on your credit reports, and debt buyers will show up there to. Let me know those details and we can go from there.
Hi Michael, I currently have 10,377.11 with Porfolio Recovery Associates. I received a letter saying the account was transferred to the litigation department but no attorney has reviewed the particular circumstances of my account. I am currently furloughed due to COVID, but the thought of being sued scares me, should I contact them to try to settle now?
I would suggest scheduling a consult with me using the tab above the comments. Settling with Portfolio Recovery, and getting time to pay, appears to be necessary in your situation, and that can be trickier than when dealing with creditors.
FYI, Mellissa. In the last few months I settled several debts with PRA.
I settled them for 70%, 77% and 60% respectively.
I do not claim to be an expert. I wish I was. I think they milked me up one side and down the other,
but that is an FYI. That was after already paying perhaps 20% of the respective total balance over a period
of 2 to 2.5 years. When I saved enough, I decided to settle.
The total owed on those accounts was $9,300 and I ended up settling for: $6,185. I am fairly happy,
but I was not well informed. I hope with the help you get here, you will be able to do much better.
I wish you all the best. Hope you do better than I did.
Hello. I have about $12,359 debt from William & fudge, Inc. It is a student loan. I was wondering if it’d be worth it to settle now for pennies on the dollar, if I missed that opportunity prior to the economy healing, or if I should wait until the extra $600 unemployment benefit runs out at the end of July. Ultimately, is now a good time or should I wait?
I think recovery expectations will soften even more in the fall, so if it were me, and I was not in a hurry, I would wait.
Hi Micheal, Thank you for all the information. I was hoping to find out something about settlement expectations with Mariner Finance. I owe about $ 6500 on a personal loan – I have been two payments past due for about six months. I found information on my other creditors and have actually been in contact with most of them . I was just wondering if Mariner Finance was going to be a problem. Thanks
Mariner Finance is one of the more aggressive lenders right now. I have seen them sue to collect in a matter of a few months. The settlements are not all that great either.
With COVID things could soften up, but I would try to gather as much funds, as quickly as possible, to be ready for this one.
If they sue you can defend the collection to buy time to pull money to settle together.