How to Talk to Your Credit Card Company to Settle Credit Card Debt
Settle your credit card debt and be free! Credit card debt is rising at an alarming rate.
The statistics are scary and most people now own at least one or two cards and most people have sleepless nights worrying about how they are going to settle their debt.
It can be very depressing, especially if you are facing the giant companies alone who seem like angry, demanding, uncaring groups who will do anything to get your money.
If this situation feels familiar to you, there is much you can do to get peace of mind.
First, do not worry.
It is only money and it can be sorted out.
It may take some time and a lot of commitment, but remember that even this problem will come to pass.
Next here is a list of things that you should do before talking to your card company about how to settle your debt: 1) Make a list or your income and expenses and calculate exactly how much you can afford to pay either as a lump sum or as monthly payments.
2) Contact a professional advisor such as a lawyer, accountant or other financial advisor who can help you and support you get through this problem.
They know the laws and they will also not be intimidated by the companies.
They also have friends within a lot of these companies and a friend can go a long way when it comes to negotiating.
Remember to use an advisor who has done this kind of work before with favorable results.
Get references and make sure you discuss fees before you appoint them to work.
Sign an agreement that you understand before commencing so there are no unspoken expectations and hidden billings.
3) Make a plan of action that you can present to your company.
You can negotiate reduced payments, reduced interest, lower balances.
Even though the lending companies sometimes seem like monsters, all they actually want is that you pay.
4) When talking to the companies, keep a diary of everything you say.
Record names, dates, times and the conversations.
If you can physically record the conversations it's better.
Remember to tell the credit card companies that you are recording.
5) Keep calm.
You may want to shout obscenities at them or break down in tears, but they have been trained to ignore it and they will most likely stop negotiating with you.
6) Do not break your promises with them or fall behind.
If they ask you to send documents, then send them by the due date.
If they ask for payment make it or re-negotiate.
7) Intent to pay.
Never tell the companies that you will not pay.
They want to see intent to pay.
If you show this, even by sending them $5 or $10 they can never use intent not to pay against you.
All lending companies will work with you if they see that you are really interested in paying them.
8) Tell the truth.
Don't tell them you have a job and are expecting your salary next week if you don't.
If you are unemployed and have no money then tell them the truth.
There is no shame in not having a job as it is just a temporary situation for you.
If they find out you are lying to them, they may well become hostile and ask for immediate full payments.
9) Talk Talk.
Keep your line of conversation with them open.
Call your account agent at least once a week and tell them what is happening.
Tell them you will pay money tomorrow, or that you have just paid.
Above all keep the conversation flowing and keep them informed about what is going on.
10) Confirm everything by registered letter.
After your conversation with them, send a letter to the credit card company confirming your intentions and actions as agreed in the conversation.
If there is anything in error, they will inform you.
Keep the letters polite but firm and short.
You do not need an essay.
I hope that these 10 action points will be a big help when talking to your card companies.
Credit debt can seem like a nightmare, but if you talk to the credit card companies and work with them, they will give you some breathing space.
Before you talk to any credit card companies or debt settlement agencies, you absolutely should talk to an accountant, lawyer or other financial specialist.
They know the law.
They will not be intimidated and they can support you through this time of stress and heartache.
It is nice not to be alone.
I am not an accountant or a lawyer, but I talk from my experiences and I had a team of low cost lawyers and accountants with me, that I am so eternally grateful too, when I decided to settle credit card debt.
The statistics are scary and most people now own at least one or two cards and most people have sleepless nights worrying about how they are going to settle their debt.
It can be very depressing, especially if you are facing the giant companies alone who seem like angry, demanding, uncaring groups who will do anything to get your money.
If this situation feels familiar to you, there is much you can do to get peace of mind.
First, do not worry.
It is only money and it can be sorted out.
It may take some time and a lot of commitment, but remember that even this problem will come to pass.
Next here is a list of things that you should do before talking to your card company about how to settle your debt: 1) Make a list or your income and expenses and calculate exactly how much you can afford to pay either as a lump sum or as monthly payments.
2) Contact a professional advisor such as a lawyer, accountant or other financial advisor who can help you and support you get through this problem.
They know the laws and they will also not be intimidated by the companies.
They also have friends within a lot of these companies and a friend can go a long way when it comes to negotiating.
Remember to use an advisor who has done this kind of work before with favorable results.
Get references and make sure you discuss fees before you appoint them to work.
Sign an agreement that you understand before commencing so there are no unspoken expectations and hidden billings.
3) Make a plan of action that you can present to your company.
You can negotiate reduced payments, reduced interest, lower balances.
Even though the lending companies sometimes seem like monsters, all they actually want is that you pay.
4) When talking to the companies, keep a diary of everything you say.
Record names, dates, times and the conversations.
If you can physically record the conversations it's better.
Remember to tell the credit card companies that you are recording.
5) Keep calm.
You may want to shout obscenities at them or break down in tears, but they have been trained to ignore it and they will most likely stop negotiating with you.
6) Do not break your promises with them or fall behind.
If they ask you to send documents, then send them by the due date.
If they ask for payment make it or re-negotiate.
7) Intent to pay.
Never tell the companies that you will not pay.
They want to see intent to pay.
If you show this, even by sending them $5 or $10 they can never use intent not to pay against you.
All lending companies will work with you if they see that you are really interested in paying them.
8) Tell the truth.
Don't tell them you have a job and are expecting your salary next week if you don't.
If you are unemployed and have no money then tell them the truth.
There is no shame in not having a job as it is just a temporary situation for you.
If they find out you are lying to them, they may well become hostile and ask for immediate full payments.
9) Talk Talk.
Keep your line of conversation with them open.
Call your account agent at least once a week and tell them what is happening.
Tell them you will pay money tomorrow, or that you have just paid.
Above all keep the conversation flowing and keep them informed about what is going on.
10) Confirm everything by registered letter.
After your conversation with them, send a letter to the credit card company confirming your intentions and actions as agreed in the conversation.
If there is anything in error, they will inform you.
Keep the letters polite but firm and short.
You do not need an essay.
I hope that these 10 action points will be a big help when talking to your card companies.
Credit debt can seem like a nightmare, but if you talk to the credit card companies and work with them, they will give you some breathing space.
Before you talk to any credit card companies or debt settlement agencies, you absolutely should talk to an accountant, lawyer or other financial specialist.
They know the law.
They will not be intimidated and they can support you through this time of stress and heartache.
It is nice not to be alone.
I am not an accountant or a lawyer, but I talk from my experiences and I had a team of low cost lawyers and accountants with me, that I am so eternally grateful too, when I decided to settle credit card debt.
