Debt Settlement is a form of transaction between a credit officer and a borrower with regard to the status of a credit balance. In this kind of transaction, a borrower will be given a chance to settle some important problems about the process of repaying a debt to the money lender. The result of the debt settlement and the arrangements will be based on the status of living of the borrower and the financial problems that serve as hindrances to the capability of the borrower to pay the remaining balance of the credit.