would anyone please tell me, I have a credit card and i cannot pay it all off in full, have I any rights to ask the company for a settlement figure, pay off a certain amount just clear it instead of paying a token payment?
2007-05-03 06:40:50 · 7 answers · asked by ? 1 in Business & Finance ➔ Credit
I am the same way but I've been chipping away at it over the past 7 months and I pay a decent sized payment per month but the interest is still very high! I only have 3 more months until it's paid in full. My advice is just to pay as much as comfortable for you but more than the minimum payment in order to see progress. I am!!!
2007-05-03 20:47:20 · answer #1 · answered by Anonymous · 0⤊ 0⤋
It is possible to do that, you just have to call the credit card company and ask what they will settle for. Many will take off some finance charges and late fees. But beware that it will state on your credit report that debt was settled and not paid in full & you will probably lose the account. Also beware that the credit card company will file a 1099 for the amount that you didn't pay & you must include that income on your Federal tax return at the end of the tax year. The IRS will come after you for it if you do not. It is called a forgiveness of debt. So in reality, it would be better to just make payments to the credit card company until you can afford to pay it off.
2007-05-03 06:54:15 · answer #2 · answered by misbotta 4 · 0⤊ 0⤋
You do not have to pay if off in full, you can pay off more than the minimum payment off a month.
It saves on the interest!
2007-05-06 08:14:42 · answer #3 · answered by Rebz 5 · 0⤊ 0⤋
YES`u can pay`anything u like`part or full`they wont mind`these days`just ask them`soon as pos'fairyB`
2007-05-03 07:19:25 · answer #4 · answered by Anonymous · 0⤊ 0⤋
If you are in good standing why not just make the minimum payment until you get back on your feet? Now if you are behind then that is another story...
2007-05-03 07:41:34 · answer #5 · answered by Anonymous · 0⤊ 0⤋
If you contact the company and make them realise that unless they forgive part of the loan, you will have to go bankrupt, they will agree.
I do not think the IRS will bother you, but If they do, it will be much later and the tax will be far less than the loan.
2007-05-05 10:48:53 · answer #6 · answered by Anonymous · 0⤊ 0⤋
nope...u have no rights...u agreed to the cardmember agreement...and all rules are in there...
2007-05-03 06:49:40 · answer #7 · answered by sunbun 6 · 0⤊ 0⤋