Letters To My Credit Card – Settlement Letter

 Last week I presented an article sharing a recent experience with a reader/emailer.  In this story I referenced a pair of letters I crafted for the benefit of this person, “Ella”.

Well, as fate would have it, my ability to add a downloadable file to an article seems to not be working at this time.  This might be user error, but I’m looking into it.

In the meantime, I didn’t want to delay the impact of providing those letters as part of the overall article experiece.  Therefore, I’ve now pasted below the second letter – Settlement Letter – and will be provided the first letter – Delayed Settlement yesterday in similar fashion. 

Once the issue is resolved I’ll add the downloadable to the original mail and all will be well.

So, changing gears,  as you read the letter below, realize that this is a specific letter crafted for a specific person in a specific situation.  It is unlike the other tools I’ve provider which are more plug and play.  These letters, while adaptable to another situation, are intended more as elements of the larger story.

Read below and please provide your comments.  I look forward to hearing your thoughts – good or bad.



<Your Name>

<Your Street Address>

<Your City, State, Zip>


<Month ##, 20##>

Dear <Recipient Name>,

I am writing to you today in reference to my active account with your organization. 

Account Number:  <insert your account number here>

Balance Due: <insert the outstanding balance on this account>

Due to significant changes in our life circumstances, we regret to inform you that we are no longer able to honor in full the debt obligations we have with your company. 

My husband and I are both senior citizens and recent health complications have removed our household from the workforce.  This sudden and unplanned change has significantly impacted our income, resulting in our need to approach you today with three messages.

  1. Effective immediately, we will no longer be sending to you monthly payments against our account balance.
  2. Understand that food, shelter, and healthcare have become and will remain the central focus of our lives and remaining, and limited cash flow.
  3. As individuals of character and integrity, we respect the fullness of our obligation even as we are now unable to financially honor it in its fullness.  We, however, do wish to settle this balance for a reduced amount according to our ability to pay.

If you will provide us with a written and signed confirmation agreeing to the details of this proposal, we are willing to forever settle our outstanding balance of <insert amount owed> for an amount equal to <insert proposed settlement amount>.

For purposes of protection, yours and ours, we can only accept written settlement offers received through the mail.

Please note that we are trying diligently to do right by your organization and the debt we knowingly owe.  However, abusive collection behaviors by your organization or its delegates will signal an unwillingness to cooperate.  As we are legally judgment-proof, your unwillingness to cooperate will result in an absolute default of our balance due.


<Your hand signature on the printed page>

<Your Name Typed>