When y'all're working to settle a debt on your ain, you desire to practise everything in writing. This is especially true if you lot're making formal debt settlement agreements. Creditors and collectors will try to become you to concord to things over the phone. Don't autumn for it! Ask them to send you lot their proposal in writing. Avoid proverb anything that acknowledges that yous're obligated to repay the debt. You can apply these debt settlement letter templates to negotiate everything in writing.

Always validate a debt before you outset negotiating with a collector!

The first footstep in any debt settlement negotiation with a collection agency is to validate that yous owe the debt. When a debt settlement visitor calls you, ask the representative to send you a letter validating that the debt is yours and that they accept a legal right to collect. They have five days to do and so nether the Off-white Debt Collection Practices Act (FDCPA).

Never acknowledge that you owe the debt or that you're supposed to pay it. This can reset the statute of limitations on collecting the debt in some states!

The Consumer Financial Protection Bureau provides a detailed free letter of the alphabet template asking a collector for information most the debt. If you receive the letter and believe that you practice not owe the debt, and then you have xxx days from the date you lot receive the notification letter to dispute that y'all owe the debt. The CFPB has a letter for that, too.

Visit consumerfinance.gov for Fair Debt Collection letter templates »

Templates are downloadable Discussion Doc files.

Debt settlement offer letters

Debt settlement offering letter for an original creditor

Utilize this template letter to make an initial debt settlement offer if the debt is still with the original creditor. Information technology includes a negotiating signal requesting to remove any belatedly payments or charge off statuses from your credit report.

Download Debt.com's settlement offer template »

Debt settlement offer letter for a collector

This template letter makes an initial debt settlement offer to a third-political party debt collector. Use this template if your debt was sold past the original creditor to a collection agency or debt buyer. The offer includes a asking for pay for delete.

Download Debt.com's settlement collection offering template »

Debt settlement counteroffer letters

Debt settlement counteroffer for an original creditor

This template alphabetic character makes a counteroffer when an original creditor offers you an initial settlement corporeality. The goal is to offer a lower amount and negotiate for a removal of the negative information from your credit history.

Download Debt.com's settlement counteroffer template »

Debt settlement counteroffer for a debt collector

Use this template letter of the alphabet to brand a counteroffer to a collector. Yous goal should be to negotiate a lower corporeality than what the collector offered initially. Information technology also negotiates for pay for delete, where the creditor agrees to delete the collection account in exchange for your payment.

Download Debt.com's settlement counteroffer template »

Article last modified on April v, 2022. Published past Debt.com, LLC

Reviewed Past

Howard Dvorkin, CPA