Advice on debt settlement

I was just curious how many have actually settled any of their credit card debt. Did you do this alone or through a program/company? How was your experience? And which way is better?

Settled w/ WaMu on my own. Working on the rest right now. I prefer to handle things myself.

Where do you start on your own? I would prefer to do that too…we are just now 60 days late. I’m guessing we aren’t in the position just yet, right? How did you do with MBNA. Both cards we need to settle are WaMu based.

Try to settle it on your own. It may take away and few phone calls and/or letters to get it settled ,but it will happen. Right now it is too early to even try to settle on the accounts. You are just past due. Usually a creditor will charge off the accounts after missed payments for 120 + days. Try and call the CC to see if you can make payment arrangement to get caught back up or try and cut somewhere else in you budget to get caught back up.

If you continue to miss pymts and wait until the accounts get charged off . Your credit score will go down and that Charge off will remain on your credit report for 7 yrs. If you can get caught back up ask the CC to take off the 60day late mark on your credit report. ( they will usually do this if this is your first time being late).

I just started calling my creditors. I am now currently 7 months past due. This evening I settled with B of A & Union Plus. I expect to settle with Barclaycard tomorrow.

How did you do with BOA? My largest card is with BOA…just curious…

I have been behind since August and last month started calling all my creditors to see who was willing to settle. Went back and forth a couple of times. I tried to get them low (as I did w/ MBNA) but they would go less than 35%. That’s fine. I will receive a 1099c for the forgiven portion so we know to expect that.

I have 3 credit cards left, 1 medical bill, 1 attorney bill. In the past week we did manage to pay off $37400 worth of debt for $11200. We still have $30k left (not including 2 retirement loans & 1 auto loan which equal another $27k) so we still have a way to go.

It can be done. This group is awesome about helping find even more ways to cut expenses and tighten up the budget even more. I reached out to the group and they definitely helped me.

For your settlement was it 35% of where you started (7months ago) or 35% of what they say is the balance today(ie after fees, extra high interest,lawyer fees etc). And was it a one time lump-sum payment or do you have a certain amount to pay over time (ie payment plan)? Thank you for sharing and good luck with it all, you will get done, have faith.

Still refusing to let the debt win.

Believe it or not, our balance had not gone up drastically. We had decided to not re-file for bankruptcy and I took our balance in December and based my negotiations on that. My calculations were only off by less than $50.

I paid a one time lump-sum because I preferred it that way. A couple of them offered a payment plan but it was limited to being paid completely within a month and a half.