If your are this far, then you are one of those who want to clean their credit. You are just not interested in stopping the bill collectors from calling, you want to have good credit. That is good, and since you have read this far, I will give a few techniques used in the past. They are not full proof,but may help you.
Debt Consolidation Technique
One of the techniques debt consolidation companies use is to pool your money together, call each creditor and offer to settle each of the accounts for up to 30% on the dollar. Why pay some one to handle your own money. You are basically saying you are not good enough to be trusted with your own money, so you give it to the company to allow them to hold it for you. You mean to tell me you can not put your own money in your own account, to collect its own interest. So then you may go and settle your own accounts, with these very same letters. The following list in order , how to do it yourself, the same as a debt consolidation company would do for you.
- Send Stop calls, or Cease and Desist Letter: This will stop the calls while you do your business, or save the money to pay them off.
- Send offer to settle letters, or if you want to pay balance, Request a Balance letter, and send verification of final payment letter.
- Settle each account as you can, offer each creditor 40-50%, as a settlement. They do not like settling accounts as it cuts into the collector’s commission, but if they have been ceased and desisted, they usually jump to the settlement request.