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How to write off credit card debt legally

Posted on August 20, 2010
Filed Under Credit, Credit Card Debt Assistance, Debt Relief | 1 Comment

Do you have credit card debt that you would like to write off? If you are looking for debt relief then debt settlement might be the solution you are looking for. In short you can write off credit card debt legally with up to 60% and have the credit card companies forgive the rest of your outstanding debt if you play your cards right.


First you need to understand your creditor’s situation. If they have you paying the minimum each month they are making good money and have no reason to agree to the deal you are going to offer. First step is to stop paying the monthly payments to the credit card companies. After about four to six month they will probably be willing to consider accepting a onetime lump sum because they fear you are going bankrupt which means they get nothing.

Second you should start saving up money for the lump sum so you have something to bargain with and actually have money to give in case they accept your offer. There is absolutely nothing illegal about this strategy and you could end up saving a large percentage of what you owe, but it might be a good idea to get debt settlement attorney help to avoid simple mistakes using their expertise.

Third you need to contact all your creditors and start the negotiations. Before you do so make sure you have all the information you need like how much your total debt is, who owns your debts, interest rate of each loan, your credit report etc. And have an offer ready to present and start the negotiations from.

If you follow the above simple steps you could save between 40% and 60% of your current outstanding debt, but it is always a good idea to get professional help if you are unsure about how to handle the details.  Keep in mind the very serious downsides of this strategy.  Before you take this plunge, remember there’s no going back.  Once you stop paying your credit cards your credit rating will be impacted negatively.  This will affect your ability to obtain credit.  You will be impacted when you rent or lease a home or apartment.  Your credit lines will be cancelled.  And, it’s very stressful.  Your phone will ring off the hook.  Unless you cancel your telephone numbers, you’ll be talking to debt collectors non-stop.  So this strategy is a last resort for the desperate, when there’s no other way out.  It’s best to talk to a professional prior to beginning this debt relief process and get all the facts.

If you would be interested in documenting the process that you go through for debt relief, please consider working with the credit-hope website to post guest articles. Here’s the link: Credit-Hope.

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One Response to “How to write off credit card debt legally”

  1. Latest Credit Card Debt news – How May You Negotiate Your Credit Card Debt Without Having To Be … on August 20th, 2010 1:42 pm

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