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Settle Your Credit Card Debt Through Lump Sum Payment

While it might be hard for some (or a lot) of people, calling your credit card company to discuss your situation is perhaps the easiest thing to do. Though they may not be cordial and warm if you tell them you are having a hard time paying your credit card debt, letting them know yourself reflects a good image of you that presses on them. It shows them that you want to settle your debt and that is a good thing.

When you call your card company to discuss your debt settlement options with them, it clearly shows that you are facing the problem rather than avoiding it. With the credit crunch that has been going on, most card issuers are more than willing to forgive 20%-40% of credit if they can at least get the remaining amount.

The most probable plan they are likely to offer you is debt settlement through lump sum payment. That means if you can pay a certain amount within a certain schedule, they will clear off any remaining balance. For instance, if you owe a credit card company $10,000.00 and they are willing to take a lump sum of $7,000 in a matter of 40 days, all you have to do pay them $7,000 within 40 days and the remaining $3,000 is forgiven.

While there are obvious advantages, the hard thing about lump sum payments is raising enough money with the given time frame. But if you can manage to gather the funds in as little as 40 to 50 days, then settling your credit card debt through lump sum payment is certainly a great way out.

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