Payment Agreement Letter

You owe the debt and want to make payments but just can’t afford the amount the collector is demanding. Get help settling that debt for less than you owe AND get help making that collector stop contacting you. Simply click the banner below for a FREE NO OBLIGATION consultation, your debt may be able to be settled for less than you owe and 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!

Payment Agreement Letter

When your financial situation prohibits you from meeting the payment demands of debt collectors, consider offering them a payment agreement that meets your needs not theirs. Use the letter below to write your own debt payment agreement letter.

Feel free to copy and paste the letter below into your word processor.

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Free Sample Debt Payment Agreement Letter

Today’s Date

Your Name
Your Address

Attention: {name of collector}
Name of Debt Collection Agency

RE: Your {letter dated} or {phone call on date} reference account #: {place account or reference number here}

Dear Mr. /Ms. {Collector’s Name}

According to my records and your {phone call or letter} the balance of this debt is $_____. I am disputing this debt and my current financial situation prohibits me from paying the amount you’re demanding. I am able to make payments on this account every {insert date of month} to your company in the amount of $ _________.

I would appreciate a letter from you (please do not call me at any number) confirming your acceptance of my payment terms. However, if I do not hear from you, I will consider your cashing or depositing my check as confirmation that you accept my payment terms. If you do not accept my terms then I expect the enclosed payment to be returned to me immediately in the enclosed self-addressed stamped envelope.

As a show of good faith I’ve enclosed my first payment in the amount of $________. If my financial situation improves enough for me to increase my payment amount I will contact you immediately. Thank you for understanding.




Your Printed Name

Send the letter above using these dispute debt collection mailing instructions.

To dispute an invalid debt use this disputing debt sample letter

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  1. I have tried to make payments arrangements with a collection agency and they refuse to accept. I have tried to explain that I live on a very tight budget and will increase the amount I pay as other bills get paid off. I finally told them that I would send them a $25 check each month and was responded to with, “Keep your $25 because we will just send it back to you.”

    What else am I able to do to in order to try and get this paid? I do not have a lot of money and have just barely paid off one judgment and still paying on 2 others. I am depending on my church and children for groceries and have nothing else to offer them.

    • So what happened

      • They took me to court and I settled for a stipulated payment arrangement of more than I offered with it increasing every 6 months in lieu of a judgment.

    • I could be wrong?

      People are afraid of bankruptcy.
      This country the USA is built upon the laws of the Bible. Deuteronomy states BK is your God given right to file every 7 yrs and so the laws of the land.

      A fresh start!
      File BK7, 11 or 13 is not a crime.
      It is legal recourse on your behalf every 7 years or in some states 7.6 months and may vary state to state. BK does not ruin your credit or ability to apply for credit in the future.

      Credit is easily rebuilt with bank cards that you prepay and transfer income into monthly to cover what you purchase and would have normally paid anyway from your checking account or debt card. It’s basically a transfer from one account to another. So instead of paying for groceries with a debt card use your bank card visa to buy groceries then transfer that amount from checking to your bank visa.
      The only difference is which card you use, so why not buy with your bank visa to rebuild your credit score, then transfer the cost amount from checking to your bank visa credit card, not the same as your ATM card. ATM cards do not build credit. But a prepaid bank card from your bank does!
      . Credit reporting shows it’s paid immediately.

      So basically you just need a one time start up pre paid balance of $300 for goods you would normally buy and pay for anyway.
      Simply, Rotate the money.
      In 6 months add $100 to the bank visa account and in a year another $100. If it’s always transferred your credit score increases st the end of one year and so on.
      I’m just saying it is easier than most people realize.
      Hope this helps understand, what options you do have.
      The is NOT advise! I am not advising you what to do…,,
      It is just INFORMATION… That’s all

  2. OK just keep sending them what you have if they take you to court then explain to the judge what you can send tell the judge that you can only sendwhat you have.good luck

    • I did that but the judge explained that since I do owe the money then I would either have a judgement against me or settle for what payment arrangement I was offered. Apparently they have the right to refuse payment with no consequences.

  3. I tried to make a 50. Payment and they sent it back telling me they want 150. At a time and due by the 12th of every month.. I can’t do that I said 100. A month and I sent a 50. Money order and they sent it back .I am lost I don’t know what I can do ??? Help

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