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Sample Debt Letter 3

Request a Reduced Settlement

Date

Name of contact, Name of company

Address
City, ST  Zip

Re:  Account of [name account is under]; Account No. [insert account number]

Dear _________:

This letter is to follow-up on the telephone conversation we had on [date] wherein I advised you of my dire
financial condition.  As I told you on the phone, I have recently become disabled, and my current monthly
income has been reduced to such a low amount that it barely covers my rent and basic necessities of life.
Because my health problems are permanent and I have nothing of value to sell and no money in savings,
there is no way I will be able to pay my debts in full.  For this reason, I am trying to avoid filing bankruptcy
by contacting all of my unsecured creditors and asking them to accept a reduced amount as payment in
full.

My monthly net income in the form of a disability payment is $_____________ , and my basic living
expenses are as follows:

Rent

Insurance

Utilities

Food

Total  $_____________________

As you can see, this leaves me $__________ each month to pay all of my unsecured creditors, who
consist of the following:

Creditor        Total Amount Due    Average Monthly Payment

X Credit Card $[total amount due] $[avg. monthly payment]

Y Credit Card $[total amount due] $[avg. monthly payment]

Z Credit Card $[total amount due] $[avg. monthly payment]

 Totals    $___________ $____________

I am proposing a settlement of 30 percent of the total amount owed as payment in full for this debt to your
company, as well as the other two listed above.  Thirty percent of $[total amount due] is $____________,
which I am requesting be paid back to you in the form of a payment each month in the amount of
$____________ for the next [number of months] months.  

Please contact me as soon as possible and advise me whether or not this settlement is agreeable to you. 
I want to do everything I can to avoid filing bankruptcy and am hoping I can work out some sort of
settlement with my creditors.  Thank you for your attention to this matter.

Sincerely,

Your name
Complete contact information

Dear Sir,
This is Kumaraguru was having ICICI bank credit card in the year 2005. Card no :
[protected].

There was a credit outstanding of only 4000/- premium amount in this card when i
stopped using this card. Even when i paid my monthly minimum dues, i was fined in the
next month bill during that time. I have not paid and the case transferred to CIBIL. Now
a person from ICICI bank called me and asked for settlement for this card.

When i am trying to customer care centre, i could not get in with them using this card
number as the IVR saying the entry is invalid. I tried maximum number of times. I have
received a letter from Chennai Ambattur ICIC bank saying that letter is settlement only
and not mentioned anywhere as FULL and FINAL settlement letter.

I was worrying if anyone from ICICI bank trying to cheat me. Pls advise how to handle
this.
regards/guru