The warning signs of impending legal complications are clear. Collectors call more often and the tone of conversations become increasingly aggressive. The escalation in aggressiveness is intentional. Professional collectors develop a keen sense for the level of stress in each account holder’s voice. By pushing stress buttons repeatedly, collectors know that an aggressive approach forces debtors to react.

Account holders are not required to accept collector calls. Original obligations arise from dealing directly with creditors, and each account holder may contact a creditor using the same aggressive approaches used by collectors. At first blush, this tactic may seem appealing and perhaps deserved. The results, however, are not productive.

Negotiating a profitable debt settlement requires a high level of professionalism. Avoid using the childish tactics preferred by collectors. Instead, take the lead when dealing with creditors by proposing negotiation of future payments based on reason. Expect creditors to require documentation before accepting settlement.

A professional negotiation of a debt settlement begins by focusing on the cause of past due late payments. Each person’s current repayment ability is a primary focus. The most common situations that cause late payments include illness, job loss and divorce. In addition, unexpected salary reductions, home repairs and vehicle repairs frequently prevent making payments on unsecured accounts. Documentation of these causes is highly influential when negotiating debt settlement agreements.

The best negotiators do not impose personal bias in conversations. Allow documentation to carry the load and speak for itself. A wise creditor evaluates documentation carefully to determine the maximum recovery available. To produce settlements for pennies on the dollar, provide overwhelming evidence that repayment is doubtful based on a realistic assessment of available income and the cost of basic living necessities.

Debt consolidation companies negotiate with national lenders on a daily basis. Over time, professional negotiators develop working relations with all major credit card companies, banks, and providers of retail credit. These companies represent individual account holders during all phases of the negotiation process. Daily practice produces the best results obtainable. Professional negotiators know, with a high degree of probability, the largest negotiated payment reduction possible before contacting a creditor. Once the ultimate prize is apparent, deciding when to push forward or settle is easy.

The cost of hiring a professional negotiator is surprisingly affordable. Fees are paid by including a negotiated one-month grace period before payments resume. The amount of the new monthly payment represents a typical fee to obtain a 40% to 60% payment reduction over three or four years.