settlement letter for deletion

I found this one on this site a while back:




Creditor Address
City, State, Zip


Re: Account Number


Dear Sirs:


This letter is an offer to amicably settle the above account. It is not to be construed as an acknowledgment of my liability for this debt in any form.


I will pay your company the amount of $____ as full settlement of this account.


If you accept this agreement, I will send you a money order or certified cashiers check for the settlement amount of $______ in exchange for a full deletion of all references regarding this account from my credit profile and full satisfaction of the debt. This agreement is binding and will be void should you not hold up to your end of the agreement. Furthermore the debt will be deleted from my credit profile at all three credit bureaus or the bureaus your company regularly reports to in the course of doing business.


If you agree to the above, please acknowledge with your signature and return a copy to me. Upon receipt of this signed acknowledgment, I will promptly send you a money order or cashiers check in the amount stated above.


Notice: This agreement is restricted. This is not a renewed promise to pay but rather a restricted settlement offer only. By not signing below, you agree that the debt has not been renewed nor has any concrete written agreements been exchanged.


Creditorâ??s Authorized Signature: _____________________________ Date:____________


Name Title :
Sincerely,



Do not sign or date letter (This is necessary to avoid renewing the debt, should the creditor refuse to agree.) Be sure to not use a personal check if they agree to pay.
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I would add a line which states: no 1099 for Imputed Income issued to me.

My housing counselor informed me that CAs can/will report it on a 1099 and you will have to pay taxes on the settlement.

 

They can, but I don't believe I've ever seen it happen.

 

I think the 1099 only comes into play if the remainder of the debt after the settlement is more than $600.

peace,
delilah

 

Did you have any luck with writing a letter? I am in the same boat!!!!

Still need help!!!

If so, were you able to make nice settlements?

 

How do you get your debt 'verified'? What does this mean?