Why wousld my creditors agree to accept less than the amount I owe them?
Your creditors prefer to collect the full amount you owe; however, they know that if you file bankruptcy, they may get nothing at all. Because of the possibility of taking a total loss, creditors are usually open to debt settlement, especially once they recognize the financial hardships you are facing. In other words, your creditors would rather accept a lump sum payment of less than the full balance owed than risk getting nothing at all.
