Collector Counter Offer

Matt wants to give a counter offer to a collector, but he's struggling with something.

QUESTION: Matt was just called by a collector. The creditor wants to settle for 80 cents on the dollar. Should Matt counter that?

ANSWER: If you don’t have the money to pay them in full, or even 80 cents on the dollar, then there’s no point in having this discussion. Don’t settle with a collector and having your lights cut off or starving your family. You don’t have the money to settle right now. If you get there, you can counter-offer. If you offer them what you have, it’s morally acceptable to give what you can offer. But today, you don’t have a deal at all. And when you do that deal, get it in writing.