Find the best financial services for you at: SMARTFINANCESOLUTIONS.NET - Can you settle credit card debt for less than owed? Even if not behind on payments? - OK, few questions. If someone has say, 25k in debt - credit cards, the like – is it really possible to call the companies and negotiate a settlement for less than owed? And #2, how does this reflect on the credit report?

My brother in law is telling me that he is inheriting about 30 thousand bucks soon, and will be calling his creditors (credit card debt only) and negotiating with them, telling them that he has to file for bankruptcy and offer them less than owed. He SAYS he can negotiate and get them to about .30 cent on the dollar.

Is this correct? And how does it appear on the credit report? I don’t believe him. He says that he wants to keep as much cash as possible to open a business in a year or so. I say he will regret it because of the marks on his report. Who is right? -