Settlement of Credit Card Debt

[retcond]

I was recently forced into retirement, and a couple months later my wife was diagnosed with an ailment that prevents her form working in her profession. As a result, our present income is about 1/4 what it was.
I have about $55,000 in credit card debt that I can no longer afford to pay. I am about 1 month late on payments. I have about $29,000 in settlement money (over and above my retirement savings) that I can use to pay off these credit cards. How do I go about this? Should I call the credit card companies myself and explain my situation? Should I hire someone to assist me? If hire someone, Who? If make calls myself what should I say or not say? Do I need to record the calls for my protection? Any advice would be welcome. Thanks.

[Madmanmike1972]

How do I go about this?

Buyer beware there are lots of people who would take your money and screw you. Do you own property also? I would wait right before wright off date and offer to settle, some will go down to 35% others would want more up to 75 or 80% of the balance. Other than that you can let them get defaulted and hope they get sold to Junk Debt Buyers who you will be able to easier beat or negotiate with since they pay usually 10 cents on the dollar or less for bulk debt. The firs thing you have to do is stop paying and then it will be easier to settle, it will ruin your credit for a while though.

[aaron]

I'm assuming your retirement savings are 401K/IRA/other retirement-type accounts. You need to protect that money. You didn't identify your state, but you may wish to consult a bankruptcy lawyer to see how your exemptions would apply to your current assets and resources, as that may turn out to be your best option.

[retcond]

Yes, my retirement savings are in 401(k). I live in Illinois.
For reasons I would rather not go into here, bankruptcy is not an option for me. Thanks for the replies.