How IRS Form 982 Can Aid Credit Unions and their Members with Debt Settlements
By: Nicholas K. Rohner, Esq. For any credit union seeking to negotiate with one of its members over a lump-sum settlement of the member’s delinquent, unsecured debt,[1] one potential roadblock is IRS Form 1099-C. This form reports the amount of a member’s debt that is forgiven or canceled; and although a member is unlikely to…