If your creditors have agreed over the phone to you making lower payments or other payment arrangement based on a financial hardship, make sure to follow up your conversation with this sample letter to confirm payment. That way, you’ve made record if the creditor debt collector does not honor your payment plan. This is important because it may hurt your credit and cause you to be a victim of illegal or unfair debt collection practices. Plus, the debt collector may just be liable to you for statutory damages of up to $1,000, plus any actual damages suffered, plus attorney fees!
After negotiating a reduced payment plan with your creditors, the free sample letter to confirm payment below can be used to write your own personal letter confirming the terms of the reduced or delayed payment agreement.
Feel free to copy and paste the text into a word processor.
Free Sample Letter for confirming payment agreements with your creditors based on a current financial hardship.
Today’s Date
Your Name
Your AddressAttention: {Creditor’s Name}
Credit Department
Creditor’s Address
RE: Account #: {your account number here}
Dear Mr. /Ms. {insert name of person you spoke with}
Thank you for speaking with me today about my temporary problem in making my normal payments, and for also agreeing to the following payment arrangement on my account.
As agreed upon in our conversation, I will make reduced payments in the amount of $ _____ on or before the ______ of each month for a period of ____ months and after that time will resume making normal payments. see alternate text below
Thank you for your help and understanding in this matter. If you have any questions regarding this matter I can be reached at (insert daytime phone number with area code).
Sincerely,
Signature just above printed name
Your Printed Name
Alternate Text
As agreed upon in our conversation, I will not make a payment until ________ (date) at which time I will resume making payments in the amount of $ _____ on or before the ______ of each month, until my payments are caught up or my account is paid off on ___________ (date).
If you’ve fallen behind on your bills, especially credit cards, don’t panic. You may have several good options available to you. Your success starts by assessing your current situation and finding a trusted service provider that is licensed in your state.