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Received legal notice due to non payment of credit card dues
21-Jun-2025 (In Recovery Law)
Can personal loan and credit card outstanding be setteled in less amount as 8 am not able to make pyments due to financial problems
Yes. However it is on the discretion of the institution if they would be willing to settle the amount for less.
Especially when it comes to Loan amount the institutions will be willing to do so if we propose One Time Settlement (OTS) or can either ask for restructuring of the loan.
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Adv. Chanchal Singh
Mumbai | 100+ Answers
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Yes, if you are unable to pay your personal loan or credit card dues due to financial problems, you can try to settle the outstanding amount for less than what you owe. This is called debt settlement. You need to contact your bank or credit card company, explain your situation, and request if they can accept a reduced lump-sum payment or a structured settlement. If they agree, make sure to get the settlement terms in writing before paying. Please note, settling your debt will negatively affect your credit score, and you may have to pay tax on any amount that is forgiven
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Adv. Sushant Vichare
Navi Mumbai | 25+ Answers
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