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Has anyone done a settlement with them?

Sorry about that! I should have specified...I wanted to know if anyone had gone through trying to settle a credit card debt with USAA credit cards.

Thanks anyway for the reply Phoenix! :)

Sub: #1 posted on Fri, 01/02/2009 - 12:16

darottn1 darottn1

(Posts: 72 | Credits: 17.33)

They aren't the easiest to settle with but they can be negotiated with. I would draw up a budget sheet showing your financial hardship to show them why you can no longer afford to pay them on a monthly basis and so they can see that bankruptcy could be a real option and they would very likely get nothing if they don't settle. Your account with them will still have to be around 90 days + delinquent before they will be willing to even consider a settlement in most cases.

Sub: #2 posted on Fri, 01/02/2009 - 19:31

mobile0311 mobile0311
(Posts: 1817 | Credits: 104.57)

Thanks again, I real scared about these two accounts...I am not only retired military, I am civil service, so they have access to all of my business!

Even though I'm not going to do this through a debt settlement company, I noticed that all of them advertise that they would not included debts from Military Star card and USAA cards.

I have already stopped payment on the rest of my cards and I think I can afford to go on pay these two accounts. Besides, I will at least be able to get rid of the other 52K of debt which will be a tremendous burden lifted in itself.

It will just mean less that I am able to sock away to negotiate with on the other accounts.

Thanks, I feel better already just typing this. :)

Sub: #3 posted on Fri, 01/02/2009 - 20:08

darottn1 darottn1

(Posts: 72 | Credits: 17.33)

Its been 2 years that I informed usaa that I was needing to close acct and was working on a settelment plan with them and 2 other cards , to keep from going the bankruptcy route.Called them yesterday ready to settel , i can only afford apx 60% of debt...they offered 80%. I will call back and let them know that im contacting a lawyer to start bankruptcy. I payed back one of my debts the balance was12.000, i settled for 4.800...great but got hit with a 1099 this year for7.200.. cost me 3.800 extra in taxes. I cant afford to dothe payoffs and the 1099 tax. Bankruptcy is the only way out and its alot cheaper. good luck.

Sub: #4 posted on Sat, 04/25/2009 - 04:34


USAA is the worst company to deal with. I have a credit card with $11,000 balance...well it was that before we lost a job and couldn't pay anymore. We tried offering payments before it went to collections, but they denied us and continued to put late charges on our account. After all said and done, our balance in collections was $14,600. If I settled for 80%, they would get the full balance plus I would still have jacked up credit and get 10-99'd for their administrative fees. I'm close to offering a settlement with them. Any suggestions? When this is over I'm going to cancel all my insurance policies and report threats made to me during the collection process to the BBB.

Sub: #5 posted on Mon, 01/31/2011 - 21:13


please remember that if you are INSOLVENT at the time of settlement (debt exceeds assets) that you do NOT pay taxes on 1099 amount! anon, you may be able to get a tax refund if you were INSOLVENT!

Sub: #6 posted on Mon, 01/31/2011 - 21:43


I'm pretty sure that anon probably already crossed that bridge. That post is almost 2 years old. HateUSAA, do you have money to settle this debt? How much can you afford? How far far behind are you?

Sub: #7 posted on Mon, 01/31/2011 - 23:13

OhioGal1 OhioGal1
Moderators Cum Industry Expert
(Posts: 5254 | Credits: 830.39)

Ohiogal, I have about $2,500 set aside now to settle. I would have had more, but my heat pump went out and had to purchase a new one. Trying to rebuild from that, I should have an additional $2,000 saved up in the next three months. I have other accounts that I know I can get rid of, but USAA is the biggest one by far.

Sub: #8 posted on Wed, 02/09/2011 - 19:29


OhioGal, we have been paying in collections for a while. Our balance sits at about $11,700 now

Sub: #9 posted on Wed, 02/09/2011 - 19:41


I hope you're able to get it paid off quickly!

Sub: #10 posted on Wed, 03/16/2011 - 01:24

OhioGal1 OhioGal1
Moderators Cum Industry Expert
(Posts: 5254 | Credits: 830.39)

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