Why do some credit cards settle debt and others don't?

I have a minimal amount of credit car debt less than 10k, but the minmum payments were killing me and I wasn%26#039;t getting anywhere with the balance. I joined a credit counseling service and have not ever had a late payment on iut. Now it is on my score as a negative account because of the DMP. My husband and I are doing arefi to pay of my credit cards, and a friend told me that some credit card companies will take a lesser amount to get you to pay it off. I called the first company and they knocked 2K off right off the bat. The next company said they would negotiate a settlement ONLY IF I AM DELINQUENT. Should I let it go delinquent to do a settlement? Will it hurt my credit any more than it already has if it is late???

Why do some credit cards settle debt and others don%26#039;t?

don%26#039;t let it get delinquent just on the hopes of getting a better deal on a payoff that may or may not happen. if you let it slide and then they don%26#039;t take a percentage payoff, then where are you going to be? any hit you take on your credit above and beyond a late payment is going to be more trouble to get out from under than it is worth.

the effort they make to negotiate and pursue delinquent accounts depends on the resources the company has to pursue those accounts. if they don%26#039;t have alot of resources to pursue late accounts, they will be more apt to bargain with you. if they have tons of capital, and an in-house legal department to handle these things for them, they won%26#039;t cut you any slack.

at any rate, try to keep up the payment best you can, get the refi and pay them off, and learn from these mistakes and not get yourself in that position again.

worst case, they will sell off your debt for pennies on the dollar to an outside collection agency who will hound you to the ends of the earth to collect a debt they paid nothing for and will make an astronomical profit on. don%26#039;t let it get to that point, because your life will be hell until you get them paid.

Why do some credit cards settle debt and others don%26#039;t?

Some companies will settle in hopes of getting their money. Others won%26#039;t because they make their money on your interest payments if you are making them on time. I know it%26#039;s difficult but you need to find a way to pay them off. I recommend reading Dave Ramsey%26#039;s book %26quot;Total Money Makeover%26quot;.

Why do some credit cards settle debt and others don%26#039;t?

Once it is on your score, that is it for seven years. Screw em, cause no matter what you do or say or pay, it is staying on your score. Why pay now?