The average U.S. household carries thousands of dollars in credit card debt. Adding to the burden for consumers are high interest rates on the cards, often exceeding 16 percent. Relief from mounting credit card debt might come from an unlikely source: the credit card issuer. If you can prove that you have suffered a severe financial setback, you can ask your credit card company to eliminate at least some of your debt.
Instructions
- 1
Collect all the data you will need to prove financial hardship. These documents include the most recent statements from all of your credit card accounts, stubs from your two most recent paychecks, bank savings and checking account information, and statements from all other types of loans.
2Call your card issuer at the customer service number listed on your statement, and ask to speak with a supervisor. Explain that you have suffered a financial hardship and can no longer afford to pay your monthly credit card bill. Tell the supervisor that you'd like to have all or some of your credit card debt eliminated.
3Make copies of all of your financial papers. You will be asked to submit them to your credit card company to prove that your gross monthly income has fallen while your monthly debt obligations have not.
4Write a financial hardship letter that clearly explains why you can no longer afford to pay your monthly credit card bill. Reasons may be a job loss, a reduction in work hours or a medical condition. Ask your card issuer in the letter to reduce all or some of your debt. Send the letter and the copies of your financial information to the credit card company.
5Agree on a remedy if your card issuer agrees to your request for financial relief. The card issuer might eliminate some or, in rare cases, all of your debt. The company instead might offer to lower your interest rate or give you a break, perhaps as long as six months, from having to make a payment. Accept the proposed solution only if you feel you can comfortably meet the obligation.
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