How to Negotiate Payment With a Debt Collector

Being in debt is stressful enough as it is. So don't let debt collectors make it worse. When it comes time to negotiate with a debt collector, a little preparation and confidence can make a huge difference when it comes to creating a plan to paying back the money you owe. Take control of your finances, and negotiate the right way.

Instructions

1

Be realistic, and figure out what you actually can afford to pay back. Don't compromise on what you expect yourself to be able to pay back. Compromise on what you know you'll be able to pay back.

2

Pay what's most important first. Keeping your home warm in the winter is more of a priority than a credit card payment, even if that credit card payment may seem more financially daunting.

3

Understand your specific financial situation. Visit the Federal Trade Commission website to get the answers you need. The debt collector should not be your only source of information.

4

Organize all of your financial records to have as reference points throughout the negotiation.

5

Stay focused on a solution for the future, not a reason to explain the past. Debt collectors have heard every story in the book for why bills weren't paid. So stay focused on the negotiation.

6

Stay in control of the situation. If the debt collector is saying something that you disagree with, be honest and open with him about it.

7

Get a written contract for what you ultimately agree upon in the negotiation. Protect yourself for any future problem that might come up.