Many questions arise before starting a program like this, here are the 5 most common questions and our answers in bold:
Q. Which account should I settle first?
A. Whichever one gives you the best settlement offer that you can afford. You will be in regular contact with all creditors so don’t have any one certain account in mind, let the percentages decide.
Q. How do I know if I forgot an account?
A. Obtain a copy of your credit report before starting this program. You can do so for free once per year at AnnualCreditReport.com. We recommend taking the upgrade they offer at the end and finding out your scores from all 3 agencies (Equifax, Transunion and Experian) so you have a good base point for fixing your credit later.
Q. Can I combine multiple accounts with the same creditor?
A. Sometimes. It is a good idea to try to combine accounts if you get a good offer and can afford to pay off the other accounts at the same time. If not, try to use that settlement letter later and get them to match or beat it!
Q. Is it possible to eliminate all phone calls and do all this via mail or email?
A. No. For one, you don’t want to send anything via mail in Phase 1 or 2 as this may get your account flagged. Second, these deals depend greatly on negotiations and timing and need to be done “live” on the phone.
Q. What number do I call and who should I ask to speak with?
A. You can call the 800 number on your latest statement or back of your card. The creditors computer system will route you to the correct person. Usually, closer to charge off, you will be assigned a person representative who may give you a direct contact line.
