Sample Letter To Your Creditors

Reduced Payment Request

Click here to learn how to use this letter properly and to learn how to communicate effectively with your creditors.


Caution: This sample letter may not be appropriate for all types of situations. It is also important when communicating with creditors to use the term "alleged debt." Here's why. Please read this note before using this sample letter.



[Today’s Date]

[Creditor Name]
[1 Downtown Street]
[City, Province Postal Code]



RE: ACCOUNT # 1234 567 890 SMITH, JOHN


Dear [Creditor]:

Due to a [lay-off], I am temporarily out of work and am experiencing financial difficulty.

Due to my financial hardship and in order to meet necessary household expenses plus credit payments, I am asking each creditor to accept a reduced payment for the next (#) months on my debt.  By that time I hope to be back to work.  If my situation improves sooner I will notify you at that time.

I would appreciate your consideration in this matter as I am not able to meet the regular payment of [$].  I will pay you [$] per month during this emergency.

I request that my account not be placed with a collection agency as I wish to deal with you directly.  Over the next 90 days, I ask that you also please consider withholding interest on my debt.

You can be sure that I will resume regular payments on my debt as soon as I am able.  I will notify you when my situation improves.  Please only contact me in writing at the address below and I will respond to your letters in a timely manner.



[your name]
[complete mailing address]
[phone number]
[account number]

If you need more help, a non-profit credit counselling service near you would be happy to answer your questions and provide assistance or more information. Get help now and stop the collection calls.


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