Paying off debts and Stepchange
Options
backontrack83
Posts: 26 Forumite
Hello All
I am a long time lurker but first time poster looking for some guidance.
My hubby and I started off with around £36k of Debt :eek: with stepchange's help we now owe approx £8660 :T
My question is as the debts are now decreasing can I phone the creditors directly to get a full and final settlement and then pay it off without having to go through stepchange? I understand they will need to be notified that the debt has been cleared so they stop paying that creditor but is this alright to do?
Edited to add we are on a DMP.
Thank You :beer:
I am a long time lurker but first time poster looking for some guidance.
My hubby and I started off with around £36k of Debt :eek: with stepchange's help we now owe approx £8660 :T
My question is as the debts are now decreasing can I phone the creditors directly to get a full and final settlement and then pay it off without having to go through stepchange? I understand they will need to be notified that the debt has been cleared so they stop paying that creditor but is this alright to do?
Edited to add we are on a DMP.
Thank You :beer:
0
Comments
-
Yes, you can do what you like.
You can phone, but get anything agreed in writing before you part with any money.
Always make sure that once your offer has been accepted, you will not be chased for the remainder of any of the debts, you must get this in writing, or they can sell on the remaining balances, and you will have another DCA chasing you before you know it.
As and when creditors accept, just inform SC to remove them from your DMP.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 -
Hi there and welcome to MSE,
Sourcrates is right, get everything agreed in writing before sending any money under full and final settlements. Be careful about telephone negotiations as the person on the other end of the phone may not have any authority to agree/ negotiate these types of offers. I wonder if you could ask Stepchange to help you in these negotiations? I don't want to discouraged you to do them yourself but Stepchange are there to help and may be able to guide you on your offers.
Be careful when negotiating your offers. Try to avoid ringing each debt and asking what they would settle for - remember - you are in control of this negotiation! Write to each one, with a fair and proportional offer and wait for their written response. Once you have this you can then reassess things from there if they haven't accepted it. You may slightly increase the offer - if you can - but be careful about doing that too often. You may need to use other tactics to get the creditors to reconsider you offer. You may like to use our sample letter to make sure all of the conditions are agreed to correctly. Good luck,
Laura
@natdebtlineWe work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps0
This discussion has been closed.
Categories
- All Categories
- 343.2K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.7K Spending & Discounts
- 235.3K Work, Benefits & Business
- 608.1K Mortgages, Homes & Bills
- 173.1K Life & Family
- 247.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards