Dave is right, but be aware of these credit card companies selling the “forgiven” balance.
My wife and I had two credit cards with the same company. We got behind on payments and ultimately they offered a reduction in the total debt if we paid 80% of the total due. We did that, but then they sold the remaining balance to a collection agency.
So, be aware of that crap!
Hopefully, you had that offer in writing.
If their lips are moving without said offer, they’re lying.
My wife and I had two credit cards with the same company. We got behind on payments and ultimately they offered a reduction in the total debt if we paid 80% of the total due. We did that, but then they sold the remaining balance to a collection agency.
Assuming you responded to a written offer, the company can not sell the remaining debt to a collection agency because you no longer owe it. Show their settlement offer and proof of payment of 80% and ask (politely the first time) that they cease attempting to collect money you do not owe.
I think Ramsey's answer is off-base. Credit companies do make settlement offers to accounts that are in default, and will forgive any remaining debt. Unfortunately for a lot of people, the forgiven debt gets counted as income to the IRS, giving them an unexpectedly high tax bill.