Negotiated Collections

What is Negotiated Collections?

Negotiated Collections involves a one-time payment to clear your collection items at a lower rate.

What exactly is a debt settlement?

A debt settlement is an offer made to creditors to have your debt considered paid in full for payment of less than you owe. Your creditors agree to settle for pennies on the dollar because otherwise, they may not be repaid at all.

How much will creditors settle for?

This depends on many factors including how big the debt is, how old it is and how far in default you might be. Creditors may accept a settlement that involves less than you owe if they think they have no other option.

Benefits of Negotiated Collections

  • Collections could be reduced by 30% - 50%
  • One-time payments are manageable
  • Noted on your credit report as settled

What is the process to negotiate debt settlement?

  1. Determine how much you can afford to repay.
  2. We review the details of your specific situation (such as how much you owe, if there’s an external factor contributing to your financial situation, why you need to settle your debts).
  3. We deal with the debt collectors and confirm everything in writing, including the settlement amount and payment terms.
  4. The debt collectors provide a settlement agreement.
  5. You make your agreed payments.
  6. You provide us with proof of payment of your agreed amount.
  7. A final release letter is provided.

How can Climb Help?

Start your Journey to become debt free and rebuild your credit with Climb.