Do you know that an effective debt settlement letter can be used as an important tool to reduce a person's outstanding balance and dig him or her out from deep debt? Negotiating debt with creditor through letter is in fact much economical and effective compared with hiring a lawyer to manage your debt.
Here are some useful steps you should take in order to produce sound letter: Step 1: First thing first, you are reminded to determine whom you should write to.
It is good if you can call your creditor first to find out the exact person in charge who has the authority to decide the terms of your debt.
Make sure that you address your letter to the RIGHT person.
Step 2: Start explaining your current financial position in a brief manner.
Be honest in stating your current situation.
Step 3: Evaluate your credit needs carefully before you propose your resolutions to your creditor.
By doing so, you are able to prove to them that you are sincere in paying off your debt with your hard effort.
Decide what you want carefully, i.
e.
lower your total debt, reduce your interest rate, reduce your minimum monthly payment or extend the grace period.
Last but not the least; if you are not good at writing, don't worry, there are many resources you can obtain from the internet.
Refer to as many sample letters as possible before you start drafting your own letter.
Look for the best writing techniques which are able to guide you to produce quality proposal.
If you are not familiar with looking for information through internet, you are advised to look for reliable advice from lawyer or financial consultant whom you are familiar with.
It is always safer for you to get someone to counter check in order to avoid mistakes.