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Letter Offering Full and Final Settlement of a Debt

If you are having trouble paying off a debt, you may not realise that there’s always the possibility of your creditor may accept a final settlement of less than they are owed, especially if you are unable to pay the total and they would benefit more from accepting a smaller payment than by chasing you for money you do not have.

Most people are unsure of how to phrase such a request, which is where Law on the Web can help. We offer a free template letter which can be used to offer an amount to a creditor in full and final settlement of the entire debt. By using this you are informing the creditor that you are unable to make repayment of the full debt or of the agreed installments, and you are requesting that the creditor writes off the remainder of the debt in exchange for an immediate payment of a portion.

All you have to do is fill out your details where prompted with an offer of the amount you will be able to pay, and send it off to the creditor. It really couldn’t be easier.