Method

• The debtor must formally present this offer via documentation (making their intentions and the offer perfectly clear). Whether or not the offer is accepted depends on a couple of factors, such as the amount offered compared to the debt and the number of initial payments already missed by the debtor.
  
  

Misconception

• A final settlement is considered a full solution to a debt problem. The policy for such action often maintains that any debtors clearing their debt via the final settlement still gain a credit notice, affecting their credit rating.