Hello.
I have an unsecured $17,000 balance with a creditor. This is a fuel card for commercial tractors and the arrangement was that they deduct the full balance from our checking account weekly. We've been good paying customers for over 2 years with this company.
We've been through serious financial trouble in the past few months and were not able to pay them for 4 weeks now, so the payments have bounced.
I have talked to them regarding a payment plan, but they want weekly payments of $800 that we cannot afford. We offered to pay a lump sum of $4,000 back right now and continue with payments of $400 monthly until paid in full.
They said to send in the $4,000 first and then call themn again about the payment plan. Obviously we told them we will not send any money until we can reach an agreement in writting.
Now they're leaving nasty messages on the phone.
I have all the intention to pay them, but would like to reach an agreement first. I will not commit to something I cannot pay later on, and they do not seem to understand that.
I would like to try to settle something with them before the account is sent to collections.
I found several references online that talk about sending them a letter with a conditionally endorsed check for the initial $4,000 payment. Can I also ask that they refrain from negatively reporting to credit bureaus while we're in negotiations and while I make payments as agreed?
As I understand, using a conditionally endorsed check is a form of accord and satisfaction but in this case itīs only a partial payment, and not payment in full as the balance will be paid ininstallments.
Is this the best way to handle this situation?
Thank you!!
