Creditor's Acceptance Letter

A Creditor’s Acceptance Letter is a formal written communication from a creditor to a debtor or their representative, indicating that the creditor has agreed to accept a proposed settlement offer to resolve an outstanding debt. The letter typically includes details about the debt, such as the account number, the original balance, and the current balance, as well as the terms of the settlement, such as the amount to be paid, the payment date or schedule, and any other conditions or requirements. The letter may also include a statement that the creditor will release any liens, judgments, or other claims against the debtor upon receipt of the settlement payment, and that the debtor will be fully discharged from any further liability for the debt. The purpose of a Creditor’s Acceptance Letter is to provide a clear and official record of the settlement agreement, and to ensure that both parties have a common understanding of the terms and conditions of the settlement.