Way out of Agreement to Settle Debt Letter
There are debt settlement companies which attempt to help consumers set up debt settlements with their creditors, but they often charge excessive fees. Before working with a settlement company, you may try writing your own agreement to settle debt letter. Below is a sample letter you can use to send to your creditors – edit it to suit your unique situation and fill in the required information. Be sure to make two copies and send one by certified mail to each creditor you want to settle your debts with.
It is important that you have the money you offer as settlement available for payment when you send your letters out. If the creditors accept your offer – you need to be able to make the payment by the date specified in your agreement to settle debt letter, which serves as your contract and would become legally binding.
Sample Agreement to Settle Debt Letter
…and hereby agree to settle the account between them under the following terms and conditions:
The total alleged debt owed by is in the amount of $. The above parties agree that will accept the sum of $ as payment in full for the current debt. This payment will be made in the form of a money order or cashiers’ check, or payment by phone. The acceptance of this payment by serves as full discharge of said account, and no further collection efforts will be made. The account will be considered paid in full.
This contract is based on receiving $ by . If fails to pay this amount by , the contract will be terminated originally and the total balance of $ will be due immediately.
Tags: Settle Debt