Capital one credit card settlement

[Anonymous]

I was able to open a Capital One credit card with a limit of $1000. I was not employed and dont know how I was approved but that is beside the point. The card was opened 11/28/2016 and closed around 1/5/17. I overdrafted by $500 making my new balance $1500. It is 2/28/19 and I currently owe $1150 and it has been a couple years now. The interest accruing and the monthly payment i make about evens itself out. I was wondering if anybody has any experience or suggestions with settleing my debt with them. It has not been sent to collections and I have not missed one payment to them. I would like to settle the amount owed and just get it over with. Thank you

[RobertEG]

Consumers are under legal obligation to continue to make the min monthly payments under their account, as set forth in their account agreement, and the creditor is continuing to make money on your account.  They normally will not accept a settlement for less than the full amount of the debt if it is not delinquent.  Begin of delinquency raises concerns about repayment risk.  You are apparently not yet delinquent.

However, you can always make them a settlemen offer.

Since they have you under a legal contract to continue to make min payments, and you are meeting that agreement, they may be reluctant to accept less than the full amount of the current debt.

As a side issue, if you are currently now only making minimum payments, are you able to may a settlement payment that you can afford?

[Anonymous]

I would say so. It really depends on what they would consider fair. If I called today and was able to settle I think $750 would be fair and feasible.

[Anonymous]

Why don’t you just put the $750 towards the balance to get it under the limit without closing or “settling” the account. It will reduce the amount of interest you pay each month so that more of your payment will be applied to principal.