Tuesday, July 16, 2002

What to Say When You Can't Pay Credit Cards

If you're having trouble paying your credit card bills, ignoring your debt won't make it go away. Knowing what to say to creditors can help you maintain control of your debt and avoid further financial hardship.

State Problem

    Provide specific details related to your financial situation to explain why you are unable to pay.

Offer Compromise

    Offer to pay a reduced payment if you are able, specifying how much you can pay and for how long.

Document Situation

    Offer to send copies of your expense statements as well as income statements as proof of your inability to meet the regular payment.

Focus on Positives

    Remind the creditor that you are a good customer, especially if you've always paid on time and you've never had issues managing your debt previously.

Ask for Alternatives

    Many credit card companies offer hardship relief for customers who are having difficulty paying their bills. Ask a representative if they have such a program and what you must do to qualify.

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