Full and final, and money laundering
Comments
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I would guess that a lump sum full and final payment to a creditor is worth far more to them then a few £s per month for the next amount of years. I see nothing wrong with the OP saving as much as they can .Vuja De - the feeling you'll be here later0
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Thinwhiteduke wrote: »Thanks again to all the posters.
And thanks for you comments Puddylove, I appreciate you have strongly held feelings, but things are never black and white. I don't want to discuss what 'a run of bad luck' means here, its long winded, and the context is quite personal.
I suppose my question is then (which some have answered as yes), can I legitimately make an offer for a reduced amount as a F&F settlement and retain some of the money for future use?
Morally it might be wrong (which I accept), but is it better for my family - yes it is, apologies if that sounds selfish.
Then don't be surprised if obtaining a mortgage comes at a price or isn't as easy as you imagine. There's an old saying. You can't have your cake and eat it.0 -
I'm objective because I'm not involved with either party. If I were subjected to debt problems then my views would indeed become as subjective as yours.
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Funny, because in this thread you do seem to be saying you're in debt? Post #11
http://forums.moneysavingexpert.com/showthread.php?p=66145144&highlight=#post66145144Anyway, I'm no longer responding to any more idiocy on this thread.
Best not to really, as you definitely added some to it.....Shampoo? No thanks, I'll have real poo...0 -
Firstly, if you don't pay in full it is not a full and final settlement.
Your claim will be partially settled and will show up on your credit report as such if you choose not to pay the full amount.
However, if you would rather go that route you need to be 100% honest where the money has come from. Companies are legally obliged to report any suspicions of money laundering. You gained it honestly, there's no need to hide it. Just because you have it you aren't legally entitled to give it all to your creditors. But they can refuse an offer. You're lucky there was no ICO on your property, tbh
In short: save money if you don't mind partially settled.
If you want F+F then pay in full.
This is the majority afaik.DFW NERD NUMBER: 1479
Debt Free ETA: 30/04/20170 -
However, if you would rather go that route you need to be 100% honest where the money has come from. Companies are legally obliged to report any suspicions of money laundering.
Where the OP got his money from is absolutely no business of anyone's except his.
This is very similar to DCA`s asking for partners income details, .........its none of there business.
They are legally obliged to ask, he is not legally obliged to answer.
You are correct in saying his credit file would be marked as partially settled, but the older the information is, the less relevant it becomes to lenders making credit decisions, lets face it, if they only lent to people with excellent credit, they would not have any business would they, usually a bank will look at how you have been behaving financially for the last 6 months to a year, for mortgages it might be a little further back.
Basically the sooner the OP does a partial settlement the better for him, its a very common approach to clearing your debt OP, many, many people use this approach, as Martin says, its all a game of negotiation, lets face it, no one pays full price for anything, the price is always bartered down, it is no different with debt.
Personally, as I said before, I would keep payplan out of the loop, and negotiate with my creditors myself, please make sure you CCA them all first though, this is very important, and could get you an even better deal.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 -
You are in a dmp. This is an informal agreement. You are able to offer a settlement figure and your creditor is free to accept it or reject it.
At the end of the day you have to do what you feel is right for you and your family.
dfMaking my money go further with MSE :j
How much can I save in 2012 challenge
75/1200 :eek:0 -
sourcrates wrote: »Where the OP got his money from is absolutely no business of anyone's except his..
Maybe I should of said "should tell them". Otherwise they're also obliged to report it to their MLRO.DFW NERD NUMBER: 1479
Debt Free ETA: 30/04/20170
This discussion has been closed.
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