Attempting to clear outstanding debt
Michael198361
Posts: 1 Newbie
Hi I was hoping to get a bit of advice with regards to an outstanding debt I have relating to a barclaycard I had a few years ago. My debt was passed on to a company called MKDP and was at the amount of £4,800 I have paid just over £300 off that in installments and was looking to settle the remainder at the best amount possible. I called MKDP and was told the best they could offer would be £2,932 and this would show as partially settled and I would be liable for the full amount. I was hoping to hear from anyone that would be able to advise me with regards to the amount (is it fair?) the partially settled statement (will this effect credit as I'm hoping to get a mortgage in the near future?) and the fact that they stated I would still be liable for the full amount?
Thank you for any advice
Michael
Thank you for any advice
Michael
0
Comments
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Hi mihael there is a full and final settlement thread on this forum, (should come up in a search). hopefully you will get an idea from there regarding what would be a good figure from this company.
i THINK that it showing partially settled is the norm but you get in writing that it is in full and final settlement and they won't chase it?£1000 Emergency fund No90 £1000/1000
LBM 28/1/15 total debt - [STRIKE]£23,410[/STRIKE] 24/3/16 total debt - £7,298
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If you want to accept the offer, look on the National Debtline website, they have an excellent template letter for just this purpose, it basically says if the creditor accepts the offer you make, they or there agents will not chase you for the balance.
This is most important, as without it, the remainder of your debt could be sold on, and you will have some other chancers chasing you.I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter0 -
What's wrong about their 'offer' is that they say you will remain liable for the full amount after a settlement.Michael198361 wrote: »Hi I was hoping to get a bit of advice with regards to an outstanding debt I have relating to a barclaycard I had a few years ago. My debt was passed on to a company called MKDP and was at the amount of £4,800 I have paid just over £300 off that in installments and was looking to settle the remainder at the best amount possible. I called MKDP and was told the best they could offer would be £2,932 and this would show as partially settled and I would be liable for the full amount. I was hoping to hear from anyone that would be able to advise me with regards to the amount (is it fair?) the partially settled statement (will this effect credit as I'm hoping to get a mortgage in the near future?) and the fact that they stated I would still be liable for the full amount?
Well it's not a settlement then is it?
Use the National Debtline letter to put an offer to them (40% would be fair, so about £1000 less than their offer) and see if what comes back in writing makes sense0
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