How should I handle a resolution conference for over due debt?

You have to play tough when dealing with creditors/debt collectors. They are in the business of getting you to pay as much as possible on what they themselves only paid a fraction. With that in mind and as a general reference, you should seek to settle your debt for no more than 50% of the outstanding debt. Additionally, the response from a debt collector will be different based on your ability to pay. For example, in this case you owe $1,100, so I would not seek to settle the debt for more than $550; which means you should shoot for roughly $400 to start. Whether or not the creditor will accept your offer will depend on how long you plan to pay back this new amount. If you have $400 available the day you negotiate with the creditor, the chances are good they will settle the debt. If you need 3, 6, 9 or 12 months to pay off the settled debt amount, the chances are the creditor will not want to settle the debt much below the 50% range. In Georgia, a creditor must file a law suit in either magistrate court or state court in order to obtain a judgment against a debtor. If a judgment is rendered, then a creditor may apply to have a debtor's wages garnished. In this event, the creditor is entitled to 25% of your wages. I say this to help you better determine how much you can actually afford to pay toward this debt settlement. You mentioned you would like to settle this debt for $50 per month, but how much would your pay check be garnished if the creditor starts taken 25% of that amount? Your answer to this question will better prepare you when negotiating with your creditor.

Everything is negotiable in these situations. It never hurts to ask for what you want. Use the possibility of filing bankruptcy as leverage. You did not say whether they already filed a lawsuit. If they did there will be a written stipulation (agreement) filed with the court. If they did not, make sure to get everything in writing.