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How to Settle Credit Card Debt Yourself

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    • 1). Contact your credit card company by phone. Phone numbers are located on the back of your credit card or account statement.

    • 2). Explain your financial situation to the customer service agent. Request a settlement on your account. In many cases, balances are settled for 30 to 40 percent of the amount you owe. Offer an amount you can afford to pay. If the agent you first speak with does not want to accept a reasonable offer, ask to speak to a manager.

    • 3). Agree on terms. Once an offer for settlement is accepted by the company, make arrangements to pay the settlement amount. Many companies prefer to have a lump sum payment, which means you pay the settlement amount in one transaction. Some companies may be willing to accept payments on the settlement amount.

    • 4). Request a letter that outlines the terms of your settlement. This must include the amount you are settling for and your payment arrangements. It's important to obtain written verification of the deal in case you need to prove the settlement agreement later.

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