US Financial Management, Inc.

SAMPLE ONLY
U.S. Financial Management is NOT affiliated
with this company. U.S. Financial Management
is NOT a collection agency. This letter is an example
settlement we have obtained for a client.

ACTUAL SETTLEMENT LETTER

Dear

We recently have become aware of your interest in settling your Direct Merchants Bank credit card account.  We appreciate the opportunity to assist you in this endeavor.

At this time, your account has an outstanding balance of $3,716.21.  We agree to accept payment of $1,500.00 or 40% of the outstanding balance, to settle your account for less than the full balance.

This settlement agreement is conditional on payment of $1,500.00 being received by 4:00 PM CST in our office on or before 12/20/2005.  If the payments are not received by these dates, or if a payment is subsequently returned by your bank for non-payment, this offer may be withdrawn.  If at least a minimum payment amount is not received y the end of the current month, your account will charge off and this offer will be null and void.  You agree that we may retain any amount you pay in excess of the amount stated above unless you notify us of the possible overpayment within 21 days after it is made.

Please keep in mind that we are required by law to report the write-off of any debt of $600.00 or greater to the Internal Revenue Services (IRS).  The IRS considers such a write-off as income, and therefore you may be required to pay income taxes on the amount that is written off in the settlement agreement.

To ensure that your payment is posted correctly, please remit to:
                                    8020 Corporate Drive, Baltimore, MD 21236
You may also utilize our phone pay services by contacting 1-800-435-1415 during our normal business hours, or contact our website at www.dmccb.com to make your payment on-line. The website service may be accessed 24 hours a day, 7 days a week.

If you have any further question, please contact our office at 1-800-435-1415.

Sincerely,

Settlement Processing
Collections Department