Hardship Letter Due to Failed Business

To Whom It May Concern:

I am writing to try to {consolidate my loan, avoid foreclosure, restructure a payment plan, delay payment, request debt forgiveness} for {my mortgage, my personal loan, car loan, credit card bill, medical bill etc.}.

For the last {amount of time} I have run my own business, a {subject} company called {Name} in {Location}. Unfortunately, due to the economy, business has gotten steadily worse over the last {amount of time}. I have been struggling to keep up with even modified payment plans and my business shows no signs of improving.

I have a plan of action charted, which is to close the business, sell the property and seek new employment as a {position} at {Company}. While I have high hopes that this plan will put me back on track by {potential date}, it is incompatible with my current payment plan. Therefore, I would like to discuss the possibility of {modification/reduction/forgiveness}.

{If this is for a mortgage, specify whether you'd like to stay in your home, or whether the home is up for sale already. For any other loan, come up with some sort of plan for repayment, such as lower payments each month, a lower interest rate, etc., and suggest it here.}

I am hoping that we can work out some sort of solution as quickly as possible. Please contact me immediately so that we can begin this process.

Sincerely,

{Sender Name}

Index of Hardship Letter Examples