What is a deemed satisfaction and how does that apply to debt settlement?

A deemed satisfaction is a form of debt settlement that is used when a debt is paid in full and the creditor has agreed to accept the payment as full satisfaction of the debt. Under South Carolina law, a creditor must provide a written acknowledgment of the payment and state that the debt is paid in full. This written acknowledgement is known as a deemed satisfaction. When a debtor has paid a debt in full but cannot get a deemed satisfaction from the creditor, the debtor may use this form of debt settlement to protect their rights. The debtor can then file a Motion for Deemed Satisfaction with the court and request that the court enter a Satisfaction of Judgment, which essentially releases the debtor from any further obligations regarding the debt. This document must be filed in the county where the judgment was rendered. After the court enters the Satisfaction of Judgment, the debt is considered settled and the creditor is legally bound to accept the settlement amount. Debt settlement is complicated and often involves negotiations between creditors and debtors. Debtors should consult with a qualified attorney when negotiating terms of a debt settlement, as failure to do so can lead to significant expenses or even legal action. Additionally, debtors must remember to follow up with the creditor after the debt settlement is completed to ensure that all debts have been paid and that the creditor has provided a written acknowledgement of the settlement amount.

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What is a deemed satisfaction and how does that apply to debt settlement?

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