Sample Letter to Creditors 
                      Use this example below as a guide when writing to or talking 
                      with creditors. Replace the blanks with your own information. 
                            
                           
                            
                        __________________________________________ 
                            
                        (Creditor/Company name) 
                                                                                                                                                            Tips to negotiate 
                        __________________________________________ 
                            
                        (Company Address) 
                                                                                                                                                            with creditors 
                        __________________________________________ 
                                                                                                                                                             
                        (City, State, Zip) 
                                                                                                                                                            Not all creditors will accept 
                                                                                                                                                            payment plans, but they’ll 
                        Attention:  Account Representative 
                           
                                                                                                                                                            be more likely to work with 
                        Date:  __________________________ 
                                                                                                                                                            you if you have been a 
                            
                        Name(s) on account: ______________________________                                                                                  good customer and if you 
                                                                                                                                                            contact them before they 
                        Account number: _________________________________ 
                                                                                                                                                            contact you. Before you 
                            
                        Date loan/account opened: _________________________ 
                                                                                                                                                            contact each creditor, make 
                        Total amount due: ________________________________ 
                                                                                                                                                            sure you’ll be able to pay 
                            
                        Monthly payment amount: __________________________                                                                                  the monthly amount in your 
                                                                                                                                                            agreement. If you fail to 
                                                                                                                                                            follow the new plan, your 
                            
                        This letter is to let you know that I’m currently having some financial 
                                                                                                                                                            creditor will be less likely to 
                        difficulties.  I’m not able to pay the complete monthly payment on my 
                                                                                                                                                            work with you again. 
                        account because _____________________________________________. 
                                                  (List your personal reason here – job loss, illness, etc.)                                                 
                                                                                                                                                            Here are some options you 
                                                                                                                                                            could request from your 
                            
                        Looking at my financial situation, I have set up a budget for my basic living 
                                                                                                                                                            creditor: 
                        expenses and have come up with a debt repayment plan based on my 
                                                                                                                                                               Reduce your monthly 
                        reduced income.  I’m contacting all of my creditors to explain my situation 
                                                                                                                                                                   payment amount 
                        and to ask for a reduced payment until my situation improves. 
                           
                                                                                                                                                               Reduce or drop charges 
                        I would like to offer a reduced payment of $_______________ per month.  
                                                                                                                                                                   for late payments 
                            
                        This is the most that I can pay regularly at this time.  You can expect this 
                            
                        amount as soon as possible until the debt is totally repaid.                                                                           Refinance the loan at a 
                                                                                                                                                                   lower interest rate 
                            
                        I hope you find this repayment amount acceptable.  I look forward to your 
                                                                                                                                                               Pay interest only on the 
                        letter of acknowledgement.  Thank you. 
                                                                                                                                                                   loan until you can 
                                                                                                                                                                   resume making monthly 
                        Sincerely, 
                                                                                                                                                                   payments 
                           
                        ______________________________________________ 
                                                                                                                                                               Request permission to 
                            
                        (Sign your name)                                                                                                                           sell the item and use the 
                            
                        ______________________________________________ 
                                                                                                                                                                   cash to repay – or 
                        (Your address) 
                                                                                                                                                                   partially repay – the 
                        ______________________________________________ 
                                                                                                                                                                   debt. 
                        (City, State, Zip)