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I have 3 credit cards that I am having trouble paying the payments on. Is it possible to only settle 3-4 of your debts? Or can you do them 1 at a time while still trying to keep up payments on the others?

If you are going to try and settle your debts, you will need a chunk of money available immediately to do so because the settlement will require a fast payoff. So if you owe one company $10,000 and you hope to settle for $5,000 (for example), you would need the $5,000 available now to pay them off as soon as the settlement is negoatiated.

Most people do not have the money they need to make lump sum settlement payments which is why settlement companies will set up a payment plan for you. As you make monthly payments the trust account (that they set up for you) builds and once it reaches a certain level (ex- the $5,000 as used above), only then will the settlement negotiations begin. Usually this process takes many months depending on how much you can afford to deposit into the trust account each month and how much total debt you are settling.

Because the process takes time, your creditors do not get paid while the money builds up in your account which is why your credit score will be damaged from the process. However, for many people that is a much better alternative to bankruptcy. Thanks.