Negotiate Credit Card Debt Settlement – You Have Nothing to Lose

When you are trying to get out of credit card debt, there a few options that can be considered. Although bankruptcy is one of the options, it should only be taken as a last measure when there is no other way out. This is due to the fact that a bankruptcy filing will damage your credit report and the filing would stay in your credit report for 10 years. This would certainly affect your loan applications that you might want to apply in the future. Debt negotiation is another option that you could consider as this would result in a lower debt amount to be settled.

If you choose to negotiate your credit card debt, you can either hire a debt settlement company or you can do it yourself. Hiring a debt settlement company would certainly save you the hassle of negotiating with the credit card company, but be prepared to fork out some money for the fees. If you are willing to do some research and spend some time for the negotiation, you can certainly do it on your own.

The first step is to determine the amount that you owe. This would help to estimate the amount that you would negotiate with the debt company. Then, familiarize yourself with the negotiation process. You need to call the debt company and explain your situation to them. Tell them that you would like to repay your debt but unable to pay the full amount. Negotiate with a lower amount first so that you would be able to raise the amount if they ask to. The debt company might turn down your offer on your first attempt. Do not be discouraged. Instead, call them up the next day and try to negotiate again. Do this until you reach an agreement with the debt company.

Once you have reached an agreed settlement amount, put it in writing and send it to the debt company. If the company needs to come up with an agreement, follow up with the company on the status.

Although the steps above seem tedious and take a lot of time, just remember that it would be worth it in the end, when you succeed in lowering your debt amount. So, go ahead and get your debt negotiated yourself. You have nothing to lose, except part of your debt.