Full and final settlement

beniamino · 2 December 2012 at 9:58AM

I received an incorrect final bill from First Utility about three years ago. I called them and tried to get them to correct the bill, they said they would, but I didn't hear from them again. About 6 months later, I got a letter from a collections agency claiming the full, incorrect amount. I sent the collections agency a letter, offering to pay the actual amount owed in full and final settlement of the account, but they never replied.

In March 2012, I got another letter (and many unanswered phone calls) from a different collections agency -- GMS -- again asking for the full amount. I again offered to pay the actual amount owed in full and final settlement of the debt. They agreed in writing, and I sent a cheque to First Utility for the agreed sum. I have a letter from GMS acknowledging receipt 'in full and final settlement' of the account.

Yesterday, I received a letter from another collections agency -- Zinc Collections -- demanding the remaining balance of the incorrect debt. I'm confused by this -- I can't work out whether First Utility still think I owe them money, or whether the debt has just been sold on from GMS to Zinc without First Utility even being involved. Is there a way to find out? And how can I get Zinc off my back and make sure they don't keep selling my details on to other collections agencies?

McKneff · 2 December 2012 at 11:08AM

Send them a copy of your full and final settlement letter, recorded delivery.

That should do it.

If they contact you again after that, tell them you will report them for harrassment.

VitaK · 2 December 2012 at 1:20PM

National Debtline should be able to offer advice on this one.

Buzby · 2 December 2012 at 1:36PM

Why? It is a slam dunk. F&F means just that. A Copy of the arrangement is confirmation and the cancelled cheque proof.

VitaK · 2 December 2012 at 2:24PM

The wording of the full and finale settlement offer is important, thats why I recomended checking with them.

If it says neither them or any associate company will persue the remaining balance and he is released from any liability then yes, its a clear cut case.

beniamino · 4 December 2012 at 9:50AM

Resolved -- after 3 hours (and about £6 of call charges) on the phone. If anyone else has billing problems with First Utility, PM me -- I may be able to point you in the right direction.

Buzby · 4 December 2012 at 10:09AM

VitaK wrote: »

If it says neither them or any associate company will persue the remaining balance and he is released from any liability then yes, its a clear cut case.

Sorry, but that is just nonsensical. You are suggesting a third party has the right to ignore a previously agreed arrangement with the first and second party?

The fact remains, the first party has no relationship with anyone else, and if they have discharged their debt by F&F then NO further liability exists. Many do try it on (taking the F&F as a part payment) but enforcement through the courts would fail - which is the whole point of making the arrangement in the first place, as opposed to sticking your head in the sand.

Full and final settlement

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