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American Express Debt Settlement

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Mark Cappel
UpdatedAug 8, 2024
Key Takeaways:
  • A signed fax is a legal document in all US jurisdictions.
  • Consult with an attorney in your state who has experience in contracts if you do not understand a contract before you.
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Can I trust an unsigned, faxed settlement offer from a collection agent?

I have been negotiating a settlement with American Express and Nationwide Credit. They have sent me a fax in writing confirming the settlement amounts. I'm a little suspicious of agreeing since it is not signed and came to me by fax. Should I believe that the offer is accepted and that they will not be able to come after me for more after this?

A signed fax is a legal document in all US jurisdictions, to my knowledge. (Readers, please chime in below if you know otherwise.)

If the creditor sends you an unsigned document it may not be considered a contract, but instead may be considered an offer or counter-offer. I do not have the document you are referring to in front of me, so it is impossible for me to observe whether you have an offer or acceptance from the creditor.

Consult with an attorney in your state who has experience in contracts or consumer law. He or she will be able to review the document and opine accordingly.

I hope this information helps you Find. Learn & Save.

Best,

Bill

www.bills.com/

Get rid of your debt faster with debt relief

Get rid of your debt faster with debt relief

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Choose your debt amount

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$1,000$100,000

Or speak to a debt consultant  844-731-0836

Debt statistics

Debt is used to buy a home, pay for bills, buy a car, or pay for a college education. According to the NY Federal Reserve total household debt as of Q1 2024 was $17.69 trillion. Auto loan debt was $1.62 trillion and credit card was $1.12 trillion.

According to data gathered by Urban.org from a sample of credit reports, about 26% of people in the US have some kind of debt in collections. The median debt in collections is $1,739. Student loans and auto loans are common types of debt. Of people holding student debt, approximately 10% had student loans in collections. The national Auto/Retail debt delinquency rate was 4%.

The amount of debt and debt in collections vary by state. For example, in Mississippi, 35% have any kind of debt in collections and the median debt in collections is $1598. Medical debt is common and 16% have that in collections. The median medical debt in collections is $719.

While many households can comfortably pay off their debt, it is clear that many people are struggling with debt. Make sure that you analyze your situation and find the best debt payoff solutions to match your situation.

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2 Comments

mmichele, Aug, 2011
I have negotiated settlement payment(s) but the creditors and the debt collector will not send me any written agreements, yet they threaten to sue. What do I do
BBill, Aug, 2011
Sounds like the collector is with a third party for AmEx (probably either Nationwide Credit, NCO, or MRS) and he or she is pulling the oldest trick in the book by saying "send me the money and I'll pretend its towards a settlement."

I recommend that you tell this collector that you will not send them one dime until you receive their agreement in writing and, further, that you offer to fax over your settlement offer, if the collector provides a fax number.

This is important for two reasons: one: it's the end of the month and that collector will want money towards his goal so will most likely comply, and two: if this ever is forwarded to an attorney it's a great negotiating tool to show the judge, or the collecting attorney, that the consumer made a reasonable offer that the creditor refused to document.

Regardless, unless you're OK paying on the current balance, you should NOT send in money without first receiving a written agreement (oral "this line is recorded" stuff does not count).Hope this helps, and good luck!