Automated Clearing House is a method used to draft funds electronically from one bank to another.


An additional document that establishes a change or an update to an original document.

Additional Debtor

A person other than the original debtor that also owes on the debt belonging to the original debtor. (Also, “co-debtor”, “co-signer”)

Additional Deposit

A single deposit you make into your Dedicated Account that is not already included in the existing deposit schedule. It may help you get your next settlement sooner and accelerate your graduation date.


The American Fair Credit Council (AFCC) is an organization dedicated to promoting and adhering to the best practices in the debt settlement industry.


A document modifying the original agreement, such as adding enrolled account(s).


The hearing and settling of differences between two parties by a neutral third-party facilitator that was mutually agreed upon.

Authorized Contact

A person authorized by a client (in writing) to speak on the client’s behalf.

Approval Needed

An enrolled debt with a negotiated settlement that is awaiting your authorization to accept the negotiated terms.

Authorization to Communicate (ATC)

This form gives Americor permission to communicate with your creditors and collection agencies and to negotiate your debts on your behalf. While we received an e-signed version of this document with your signed Enrollment Agreement, some creditors require a copy with your “live” signature on it. If we request this, you can download it from your Client Dashboard.


Balance Transfer

When the outstanding balance of one credit card (or several credit cards) is moved to another credit card account.

Bulk Accounts

Accounts that are part of Americor’s relationship with your creditors that can assist in accounts being settled favorably based on volume.

Bulk Negotiation

Debt will be packaged with other clients’ debts from the same creditor to give Americor more negotiating power, which may result in greater savings for you.


Cash Advance

A cash loan from a credit card using an ATM or bank withdrawal. Cash advance can also be done with checks provided by the issuing creditor.

Cease to Communicate / Cease and Desist letter

This letter is used to notify a creditor to cease calling the client and to only contact the client by a preferred method, like by mail. The purpose of the cease and desist letter is to prevent harassment by creditors.


A company that pursues payments on debts owed by individuals or businesses. Collectors operate as agents of creditors and collect debts for a fee or percentage of the total amount owed. (Also, “collection agency”)


A term used to describe a client that has completed their program.


A person who signs a credit card agreement along with another account holder that may not be of sufficient age to qualify for credit. The co-signer becomes either the primary or secondary responsible party on the account.


A company (or person) to whom a debt is owed.


The lender for all lines of credit issued to Americor clients.

Current Balance

The most recent balance of the amount owed to a creditor.

Client Dashboard

An application where you can see your program status, debt negotiation activity, make Customer Service requests, manage your account information, and more.

Client ID

A client identification number made up by a set of numbers assigned to each account.

Current Creditor

The creditor who currently owns the debt, which may be the original creditor or another party that purchases the debt from a prior owner of the debt.


Days Past Due (DPD)

The number of days a credit account is delinquent.


A person who owes a creditor; someone who has the obligation of paying a debt.

Debt Reduction

The difference between the Enrolled Balance of an account and the Settlement Amount.

Debt to Income Ratio

Your debt-to-income ratio is all your monthly debt payments divided by your gross monthly income. This number is used by lenders to measure your ability to manage the monthly payments needed to repay the money you plan to borrow.


A financial transaction into the Dedicated Account made from your personal bank account.

Deposit Schedule

The dates when you will make each deposit into your Dedicated Account.

Discharge of Indebtedness

A term used to describe debt that has been canceled by a creditor and that you are no longer obligated to repay.

Disposable Income

The amount of money a client has leftover at the end of the month after all expenses have been subtracted from the client’s income including Americor’s monthly payment into the dedicated account.


A web-based system that offers a fast and secure way to obtain an electronic signature.

Draft Date

The date on which the withdrawal is processed via EFT from the client’s personal bank account into their Dedicated Account .



Electronic Funds Transfer, the use of an electronic network to transfer or withdraw funds from one bank to another.

Enrolled Debt

The accounts/balances you enrolled in your Americor program.



Fair Debt Collections Practices Act is the federal law that protects the consumer from abusive practices by debt collectors. Debt Collectors, in this reference, are collection agencies, law firms and any other agency that is NOT the original creditor.


Federal Trade Commission is a federal agency that investigates and eliminates unfair and deceptive trade practices.



Global Holdings (GH) is one of the payment processors utilized to process deposits from your personal bank account into the designated Dedicated Account set up for the duration of the program.



The cause and effect of incurring debt and its financial impact to the client pay it off in a timely manner. An accurate hardship reason is needed for negotiations to effectively negotiate new settlement terms with the creditor.



When your financial liabilities exceed your total assets.



The process of settling a dispute in a court of law.


Monthly Draft

An amount of money to be drafted each month from the client’s checking account to their special purpose account.



Non-Sufficient Funds is a term used in the banking industry to indicate that a check was presented for payment that exceeded the available balance in the account.


Original Balance

The balance on a credit report at the time of acceptance into the program.

Original Creditor

A company (or person) that originated the credit and to which the debt is owed.


Paid Off

An enrolled debt that has been resolved, meaning that 100% of all payments for the negotiated amount have been processed.


One of two models of debt settlement (the other is attorney - based) where debts are resolved much quicker and no up-front fees are charged. Fees are charged once new settlement terms are reached with a creditor and payment is made

Americor is a performance-based company.

Prepayment Penalty

A prepayment penalty clause states that a penalty will be assessed if a debtor pays down or pays off a debt earlier than agreed upon.

Program Debt

A list of all unsecured debts along with the name of each creditor, account number, and outstanding balance for which the client is seeking debt-settlement service.

Program Deposit

The recurring scheduled deposit(s) you make into your Dedicated Account. Your program deposits can be on a monthly, split, or bi-weekly schedule.

Program Plan

An illustration of the expected program showing the term and funds needed to complete the program.



Reliant Account Management an independent third-party payment processor for consumers enrolled in a debt settlement program.

Routing Number/ ABA Number

The American Banking Association (ABA) routing number is a unique, bank-identifying number that directs electronic transactions to the proper bank. The routing number or ABA number is a nine-digit bank code that precedes the account number printed at the bottom of a check.


Savings Schedule

A monthly schedule showing debit dates when funds are transferred from the client’s bank account into their dedicated account for savings.

Secured Debt

Real or personal property used as collateral to secure a debt.

Security Clearance

A status granted to individuals allowing them access to classified information (state or organizational secrets) or to restricted areas, after completion of a thorough background check.

Service Charge

A fee charged to a client for services rendered by the company.

Settled in Full / Satisfaction Letter

A document issued by the creditor or collection agency confirming all payments on the agreed-upon settlement were paid and that you have no further obligations to this debt.


An agreement between you and the creditor to resolve what you owe.

Settlement Amount

The negotiated settlement amount that you authorize on an enrolled debt.

Settlement Authorization

Your response to a settlement offer, accepting its terms.

Settlement Letter

Terms presented for your authorization that outline the details of a negotiated settlement on an enrolled debt.

Settlement Percentage

A percentage that shows the difference between the balance on an enrolled debt at the time of settlement and the settlement amount you authorized.

Settlement Reserves

The accumulated savings funds in a third-party dedicated account established on the client’s behalf.

Stipulation of Settlement

A legal document that outlines the details of a negotiated settlement on an enrolled debt and any other legal terms that will be filed with the court.

Summons and Complaint

A Summons is a written notification to a person named in a lawsuit directing the person to appear and defend (or answer) the complaint on a specific day. A Complaint is a statement made by the plaintiff (creditor) containing the allegations constituting the cause of action, and a demand for judgment.


Term Settlement

A settlement in which the client makes payments to a creditor over time rather than in one payment.


A term used to describe when a party cancels a contract with another party.



Underwriting refers to the process that the company uses to assess the eligibility of a consumer to enter into a debt-settlement program.

Unsecured Debt

A debt not backed by an underlying asset. Unsecured debt includes credit cards, medical bills, and any other type of loan or credit that was extended without a collateral requirement.


The credit card balance versus the credit card limit. It's how much is currently owed divided by the credit limit. It is generally expressed as a percentage.


Welcome Package

A package of information sent to a new client that includes educational tools, forms, and guidance materials for the client’s use during their program.


A tax form issued by a creditor when a settlement yields savings of $600.00 or higher.

982 (IRS Form)

A tax form used to qualify for insolvency exceptions with the Federal Government. If qualified, you will be deemed either totally or partially insolvent and can be exempt from being taxed on the debt amount forgiven.

30-day validation notice

A letter sent by a collection agency notifying the debtor (client) that their debt has been assigned to it. The letter gives the debtor 30 days to dispute the debt with the collection agency or the debt is deemed valid.

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