HOW TO NEGOTIATE CREDIT CARD DEBT With the present economy Americans are burying themselves under massive amounts of credit card debt. As of December 2011 the total U.S. consumer debt reached $2.5 trillion (source: Federal Reserve's G.19 report on consumer credit, released February 2012) and about one-third of that is revolving debt, such as credit card debt. Debts are increasing and more people are finding difficulty making their payments. Negotiating your debt with a credit card company is possible as companies are trying to avoid cutting their losses by forgiving the debt. The power is in your hands as you have what the credit card company wants. Do not let this go to your head though. You should approach your company politely. Stay relaxed and calm. Yelling or crying will not help the situation. You want to negotiate through emails or written letters if you can. It’s often easier to keep a record of all your negotiations. However, sometimes you will need to get on the phone and talk to someone. Stay organized and make a note of when you called and whom you talked to. You’ll also want to collect the name of their supervisor. If you are lucky enough to negotiate with mail you want to send all your mail via certified mail. A return receipt is encouraged for added safety. You’ll also want to keep a copy of each letter you send. A few things to keep in mind:
Time is on your side. You don’t have to accept the first, or even second, agreement offered by your credit card company.
You have what they want. Sometimes credit card companies are willing to take a loss. They might have you simply pay the money you owe and eliminate all the interest charges to make their money back. They don’t want to write it off or they lose money. Remember this when negotiating.
Keep track of all records. Whether you are sending emails, letters, or talking on the phone you need to keep accurate notes regarding all your correspondence. This includes keeping a copy of all letters you send and the certified mail receipt and copies of all emails.
Another option is to have a specialist negotiate your credit card debt for you. You might not have the time. Or maybe the credit card company isnâ€™t cooperating.
Learn more helpful tips on how you can totally eliminate your debt without going bankrupt. Get in control of your debt today!