Comments on: How to Work Out Settlements With Debt Collectors http://personalfinancebythebook.com/how-to-work-out-settlements-with-collectors/ Making You a Winner at Money and Life Sat, 31 Jul 2010 19:08:21 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Baby Boomers U. S. (The Blog) » Blog Archive » Baby Boomers Blog Carnival Nineteenth Edition http://personalfinancebythebook.com/how-to-work-out-settlements-with-collectors/comment-page-1/#comment-544 Baby Boomers U. S. (The Blog) » Blog Archive » Baby Boomers Blog Carnival Nineteenth Edition Wed, 23 Dec 2009 11:47:46 +0000 http://personalfinancebythebook.com/?p=789#comment-544 [...] Plemon presents How to Work Out Settlements With Debt Collectors posted at Personal Finance By The Book, saying, “My son and wife wondered if they could [...] [...] Plemon presents How to Work Out Settlements With Debt Collectors posted at Personal Finance By The Book, saying, “My son and wife wondered if they could [...]

]]> By: Joe Plemon http://personalfinancebythebook.com/how-to-work-out-settlements-with-collectors/comment-page-1/#comment-525 Joe Plemon Thu, 17 Dec 2009 03:30:53 +0000 http://personalfinancebythebook.com/?p=789#comment-525 @ Peter, Yes, two essential points. It is always up to the debtor to insist that the agreement be in writing because the collector will not initiate putting anything in writing. @CJF, Great point. Settled debt is indeed often considered earned income. I didn't tell Jeremy and Erin this...yet...because the collectors often don't send the 1099-C, and even if they do, it is still better to pay the taxes than the full amount of the debt. Thanks for the reminder. @ Peter,
Yes, two essential points. It is always up to the debtor to insist that the agreement be in writing because the collector will not initiate putting anything in writing.

@CJF,
Great point. Settled debt is indeed often considered earned income. I didn’t tell Jeremy and Erin this…yet…because the collectors often don’t send the 1099-C, and even if they do, it is still better to pay the taxes than the full amount of the debt. Thanks for the reminder.

]]> By: CJF http://personalfinancebythebook.com/how-to-work-out-settlements-with-collectors/comment-page-1/#comment-524 CJF Thu, 17 Dec 2009 01:27:48 +0000 http://personalfinancebythebook.com/?p=789#comment-524 Don't forget about income tax implications of debt forgiveness. In many situations, if a creditor forgives more than $600 in debt they will send the individual a 1099-C showing the amount forgiven. It is treated as income. Don’t forget about income tax implications of debt forgiveness. In many situations, if a creditor forgives more than $600 in debt they will send the individual a 1099-C showing the amount forgiven. It is treated as income.

]]> By: Peter http://personalfinancebythebook.com/how-to-work-out-settlements-with-collectors/comment-page-1/#comment-523 Peter Wed, 16 Dec 2009 22:41:04 +0000 http://personalfinancebythebook.com/?p=789#comment-523 I think you make some extremely important points here, among them: 1. Always get it in writing. 2. Once the debt is paid, save everything forever! .-= Peter´s last blog ..<a href="http://feedproxy.google.com/~r/BibleMoneyMatters/~3/Zee6vriM06g/do-you-deserve-to-spend-is-it-ok-to-splurge-when-you-are-broke.html" rel="nofollow">Do You Deserve To Spend? Is It Ok To Splurge Even When You Don’t Have The Money?</a> =-. I think you make some extremely important points here, among them:

1. Always get it in writing.
2. Once the debt is paid, save everything forever!
Peter´s last blog ..Do You Deserve To Spend? Is It Ok To Splurge Even When You Don’t Have The Money? My ComLuv Profile

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