Is there a standard procedure for offering a settlement on unsecured debt? As some of you know, my business (which was a sole proprietorship) has gone under and I need to settle about $35k worth of debt. I could do a chapter 7 but would rather at least pay a partial on what I owe. Should I initiate the offer? and what is a reasonable percentage to settle at? I didn't see any letters addressing this either...does the offer usually come from the creditor? and if so, how long once the account is past due? Thanks.
I dunno what it's called, but I heard there's a way you can contact your creditors and work out a payment plan with them where they stop interest, etc...and let you pay the card down. The theory's suppose ta be that they get a little of something each month as opposed to nothing. Not all cards will do it (cause they want all of it), but it's worth a try, and alotta people I heard are doin it. Make sure you write everything down, get letters to them, and keep track of all your payments. I'm wondering - is there a lawyer in ya state that works on settlements, or credit stuff? He might can draft the letters, tell ya what to offer, etc..
