Know your number first
Before any call, decide the maximum you can pay and whether it is a lump sum or instalments. Lenders respond better to a clear, realistic figure.
Explain your hardship honestly
Job loss, illness or business loss, with simple proof, helps the lender see that the problem is genuine and not a refusal to pay.
Start lower, but stay credible
Open with an offer below your limit, so you have room to move. A wildly low offer can end the conversation.
Keep it in writing
Ask for every offer by email or letter. Verbal promises from agents are hard to prove later.
Do not be rushed
A "limited time" demand to pay today is a common pressure tactic. Take time to confirm the offer is genuine and from the lender.
Confirm the closure
Settle only when you will receive a settlement letter, a closure letter and a no-dues certificate. Then verify your credit report.
Looking for specific help? Read our guide to loan negotiation assistance or request a confidential consultation.
This article is general information and not legal advice.