A credit card lender may offer you the opportunity to "settle" your credit card bill. Settle means you pay less than you owe on the debt. This can help you take care of the bill while keeping more of your money in your own pocket. The best payment method to use will depend upon your personal preferences -- but no matter which method you choose, when you make the payment to the credit card lender, do so in a manner that protects your bank account information.
Online Bill Pay
Prepaid Debit Cards
Other Payment Methods
You can generally use a cashier's check or money order to pay your settlement debt. You can purchase a cashier's check or money order at most banks for a small fee. Some may offer them for free to bank customers. You can also buy a money order at the post office or even at some convenience stores. You decide the dollar amount of the cashier's check or money order, purchase it, and then fill out the payee information. The credit card issuer or collector can then deposit the cashier's check or money order into its account. Save the receipt from the purchase for your records.
- BlackEnterprise: 6 Common Lies Debt Collectors Will Tell You
- Time.com: 5 Steps To Settling Your Debts For Less Than You Owe
- Experian: Pay The Collection Agency, Not The Original Account Holder
- MNConsumerAttorneyBlog.com: Don't Give Debt Collectors Your Bank Account Info
- FinWeb.com: Be Careful With Post Dated Checks
- Consumer.gov. "Using Debit Cards: What It Is." Accessed June 17, 2020.
- Consumer.gov. "Using Debit Cards: What to Know." Accessed June 17, 2020.
- American Express. "American Express Card Security Features." Accessed June 17, 2020.
- Washington State Department of Financial Institutions. "Debit Cards Frequently Asked Questions." Accessed June 17, 2020.
- Consumer Financial Protection Bureau. "What Is the Difference Between a Prepaid Card, a Credit Card, and a Debit Card?" Accessed June 17, 2020.
- My Credit Union. "Visa Check Card." Accessed June 17, 2020.
- U.S. Postal Service Federal Credit Union. "VISA Check Card." Accessed June 17, 2020.
Mack Mitzsheva is a tax lawyer, personal finance expert and the author of the forthcoming ebook, "10 Best Places to Work Online." Mitzsheva is also a social media entrepreneur with five successful sites under her belt. Always innovative, Mitzsheva is currently developing a cutting-edge budgeting app for newlyweds.