Cabot financial letter

Sounds pretty crap for your credit union to do this.

Have you.been keeping up agreed payments?

Be very careful in how you engage with Cabot.

I can't see them facilitate an interest freeze so get advice before signing anything.

But being paid as per latest agreement ..... As I understand it.

That letter will prove to be very important as it is what the CU sent to you and the basis on which you have been paying since then. I'd be digging it out and having a good read right now.

If you have even 30% of the total outstanding amount put away or you can get your hands on it...dont send Cabot anything other than an offer in "full and final settlement of the debt". Dont send them an SFS. Dont send them a Statement of Means. Nothing other than a letter saying that a family member has been kind enough to give you the money to make a proposal for the settlement of the debt provided it is in full and final settlement.

See what they come back with. If they bite...they bite...if they dont then carry on with the process.

Cabot have contract credit manage agreements with many financial institutions. Cabot is part of the giant Nasdaq listed company Encore Financial Group and has a capitalisation value of $1.5Billion.

In this situation they are acting on behalf of the CU and in a way is better for the OP as he/she is just an account number whereas in a local CU they "know" you better - and that can be good and bad.

It is far simpler for all involved to follow the process, ensure the payments are manageable and get the debt paid off or talk to the CU and see if they would continue to mange it themselves

But start playing games and you can very quickly find that any leeway is suddenly blocked.