Meaning of “debt settlement” in the English Dictionary

business-english dictionary

"debt settlement" in Business English

See all translations

debt settlementnoun [ C or U ]

uk us

FINANCE a financial agreement between a borrower and a lender in which the borrower pays back less than the full amount of a debt and the lender agrees to accept this as full payment:

Debt settlement companies, which offer to arrange debt settlements for borrowers, often require a big payment upfront for their services.

(Definition of “debt settlement” from the Cambridge Business English Dictionary © Cambridge University Press)