What should you do when you come to a settlement agreement with debt collectors?

Question

I have come to an agreement to pay a discounted rate with debt collectors over a bill with an ER visit to the hospital. What is it I need to do to make sure they don't try to come after me and hurt my credit any more with the balance I didn't pay?

Answer 1

Get everything in writing before you pay them anything.

Answer 2

Call the company back and request that they put your settlement agreement in writing. They should be quite detailed in the letter and include the account number, the original balance and the agreed upon reduced amount. They should also specifically say that the amount you will pay will be as good as settling the balance in full.
While you have them on the phone, double check with them and make sure that they will send you a receipt for your records once you pay them. You might need this to follow up with the credit bueaus later.
Good luck!

Answer 3

I know this sounds funny but pay what you can afford and if you feel you can't afford anything then give a dollar every time you get a paycheck it shows that you still show an interest in paying you depts and don't let them talk to you on the phone.
Just hang up on them and keep your caller ID

Answer 4

You need to get it in writing from them that whatever you pay is accepted as full payment on the debt. Do this before you send them a dime.

Answer 5

Get it in writing that the company will report to the bureaus that you have paid in full instead of settled.

Answer 6

One thing to keep in mind if you do this. Your credit report will show "Settled in Full" instead of "Paid in Full".

Answer 7

make sure you get everything in writting, that will protect you.