Credit Infocenter
Call Lexington Law 800.461.0524 for a FREE Credit Repair Consultation

Sample Letter Addressing California Full Payment Law

Californians Get a Break on Full Payment Laws

The state of California allows creditors to cross out the full payment language and sue you for the balance. However, when they passed this law, they also passed a separate law allowing California debtors to get around it. Navigating around this law requires specific steps and language. To do so, follow this procedure exactly.

We have more sample credit repair letters to handle a variety of credit situations. You can also visit our bookstore where you can purchase eBooks on credit repair, debt settlement and 95 sample letters - all available for instant download.

866.785.9884 Call for a FREE credit repair consultation & FICO® score from Lexington Law

Date

Account #XXX-XX-XXXX

Dear Creditor

This letter concerns the money I owe you. For the past three months I have received bills from you stating that I owe (insert amount) for (what money was for). Because of the incredibly inferior condition of the merchandise I have received, I feel I owe you no more than (insert amount). It is obvious that there is a good faith dispute over this bill.

In order to settle this debt, I will send you a check for (insert amount) with a restrictive endorsement stating if you cash that check it will constitute an accord and satisfaction. In other words, you will receive from me a check that states "cashing of this check constitutes payment in full." If you cash this check, that check will take care of what I owe you.

Sincerely,

Your Name

Wait 30 to 90 days to give the creditor time to object. If you do not receive any objection from the creditor, send the check with a letter stating this check constitutes payment in full. Here is the letter.

Date

Account #XXX-XX-XXXX

Dear Creditor

Enclosed is a check for (insert amount) to cover the balance of above mentioned account. This check is tendered in accordance with my letter of (date). If you cash this check, you agree that my debt is satisfied in full.

Sincerely,

Your Name

Important: Write on the bottom of the check on the front along the top or bottom the exact language you used in the second letter "This check is tendered in accordance with my letter of (date). If you cash this check you agree that my debt is paid in full."


Credit Repair Letters Special Offer from Credit Info Center

Call 800.461.0524 and speak to a Credit Repair Expert at Lexington Law
Have Questions About Credit Repair? Get Answers with a FREE Consultation
Free Credit Repair Consultation & FICO® score from Lexington Law