Writing a loan settlement letter is an important step if you’re facing repayment difficulties. With support from FREED, you can draft a clear and professional request to your bank. The letter should include your loan details, outstanding amount, reason for financial hardship, and a proposed lump-sum settlement offer. Be honest about your situation, whether it’s job loss or medical expenses, and request a waiver on penalties or interest. Keep the tone polite and formal. Once accepted, ensure you receive a written confirmation stating the loan is “settled” to avoid future disputes.
