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    • Weggy
    • By Weggy 19th Nov 05, 10:20 AM
    • 463Posts
    • 98Thanks
    Full and final settlement help thread
    • #1
    • 19th Nov 05, 10:20 AM
    Full and final settlement help thread 19th Nov 05 at 10:20 AM
    Hi all

    Am currently trying to negotiate with debt collection agencies, to get them to accept a full and final settlement figure. Does anyone have any tips on persuading them to lower their demands?


    Last edited by MSE Archna; 21-06-2006 at 7:41 AM.
Page 74
    • DrWatson1
    • By DrWatson1 17th Oct 16, 9:34 AM
    • 27 Posts
    • 15 Thanks
    Many thanks as usual

    Idem also stated "We have therefore fully complied with our obligations regarding this matter and the debt once again becomes fully enforceable".

    Which at face value seems to contravene several FCA rules:

    (1) Failure to comply with the provisions means that the agreement becomes unenforceable while the failure to comply persists, and the courts have no discretion to allow enforcement.

    (2) In such cases, a firm should in no way, either by act or omission, mislead a customer as to the enforceability of the agreement.

    (3) In particular, a firm should not in such cases either threaten court action or other enforcement of the debt or imply that the debt is enforceable when it is not.
    Would this further strengthen my case if it went to court?
    • sourcrates
    • By sourcrates 17th Oct 16, 12:13 PM
    • 7,811 Posts
    • 7,687 Thanks
    Quick question about "prescribed terms".

    Following on from my CCA requests, a creditor (Idem) has written to me with a signed application form for one of my debts (M&S), together with a statement of account. The single page document they have sent looks like an in-store application for that takes 5 mins to fill out.

    However, the application form does not contain what I understand to be the "prescribed terms" - there is no mention of credit limit or interest rate.

    Is this debt enforceable?
    Originally posted by DrWatson1

    You have requested a "copy of the original credit agreement".

    Sending an application form (which by the way is a common tactic) does not comply with your original request.

    Therefore they have not complied with your request, and the account remains unenforceable until they do so.

    Also agreements dated before April 2007 must also contain the "prescribed terms" applicable to that agreement, failure to do so, again, renders the account irredeemably unenforceable.

    Idem are feeding you !!!!!!!!, hoping you will swallow it.

    From the links provided by Fatbelly, put together a letter basically stating what a correct response should be, and then what they have sent you.

    That will put the ball firmly in there court, they would not be wise taking this to court as case law exists to scupper there argument.

    However, the law on credit agreements is quite complex, to be honest, i`m not entirely convinced the people who work for these debt collectors are any more clued up than you or I, it can be confusing determining what is, and what is not, enforceable.
    Last edited by sourcrates; 17-10-2016 at 12:21 PM.

    For free debt advice please call National Debtline on
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    Monday to Friday
    9am to 9pm
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    • DrWatson1
    • By DrWatson1 17th Oct 16, 4:10 PM
    • 27 Posts
    • 15 Thanks
    Many thanks

    I'll give it until the end of the month, and then take stock of the situation. I'm still waiting for three creditors to reply to my CCA request, so I would prefer to see what looks enforceable and what doesn't before I consider my next step.

    My debts are with Stepchange, so in the meantime i'll see if they will play ball and stop paying the non-compilers.
    • scunner
    • By scunner 17th Oct 16, 9:17 PM
    • 42 Posts
    • 1 Thanks
    Hi. Congratulations to all in negotiating discounts. I haven't been in this thread before as I've never been in a position where a creditor has offered a F&F and having seen the more recent posts in the thread could anyone please clarify what they mean by "CCA"'d the creditor? Is this part of trying to establish that a debt isn't enforceable? Debt Managers recently offered me a discount of 40% that they've now increased to 50% after I wrote to them asking for a bigger discount as the debt is so old (more than 6 years). They've now offered a 50% discount and say this is the maximum. Whilst this seems tempting I'm keen to use whatever legislation is available and need to understand it better first! Or as an alternative, does anyone know of the type of debt/finance expert mentioned elsewhere in the thread please?
    • GP2015
    • By GP2015 27th Oct 16, 7:46 PM
    • 1 Posts
    • 0 Thanks
    Settlement offer while on DMP?
    I'm not sure if I can hijack this thread, or start a new one, I'd appreciate advice if a new one is warranted.
    I have been on a DMP for a few years now and I have come to the point when I would be able to pay off my creditors with a lump sum - not quite, but pretty close to what I owe them. There are two questions I have, actually:
    1. as I have a DMP with a debt management agency, am I legally allowed to work behind their back, so to speak, negotiating partial settlments directly with my creditors? The agency handles payments to creditors on my behalf, so they are my "agents" / representatives, and if not by law, than by custom, they handle my "case". Alsow, while they work for my benefit, I'm aware they make money off my debt (by accruing my monthly payments on their bank account before passing it to the creditors), so, I imagine, they would be happier for me to stay on the DMP as long as possible, rather than let me get off hook earlier. It is a cynical view, but they do make money this way and no business, even a charity, would be happy about making less money.
    2. re-focusing on the main issue, i.e. making offers directly to my creditors, they were originally banks but those, over the last years, those have got rid of bad creditors like me and sold my debt to debt collection agencies. Now, an instict tells me that if I offered a (part) settlment to my original creditors, i.e. a bank, they would be much more flexible to accept such settlement, because better part-payment than none, or drip-dripping pennies over very long period. However, now it's too late, they sold me on, and I would presume that debt collection agencies are, in general, much, much less keen on any sort of settlement short of paying off debt in full, because, well, they are in business of collecting debts, rather than cutting their losses, as banks would be.
    Or is it just nonsense, and it is _definitely_ worth writing to them to make an offer of an early PART settlement? If so, what is the right amount, percentagewise, to get the balance right? Should I offer around 70% of what is left of my debt? Would they not think: nah, the guy's been paying regularly for the last x years, we'd rather keep collecting the current monthly payments until he pays us 100%? And am I being an idiot, because I should begin negotiations with a lower figure, unless I want to settle for around 90%, which they would send as a counter-offer?
    On the other hand, I do feel that offering a low % is taking a mickey, considering I got into this debt in the first place.
    But, most importantly, is it worth writing to them with such proposals for part-settlement? And if they reply without a higher counter offer, should I come up with a higher % and try again, or just wait and try in a few months?


    • fatbelly
    • By fatbelly 27th Oct 16, 10:58 PM
    • 9,952 Posts
    • 7,450 Thanks
    I'm not sure if I can hijack this thread, or start a new one, I'd appreciate advice if a new one is warranted.
    Originally posted by GP2015
    Yes, this is a sort of subject-thread so that's fine

    1. Yes you can negotiate your own deals - these are your debts and a dmp is an informal solution

    2. Don't over-think this. You deal with the present owner of the debt. If they have bought the account they will have paid probably less than 20% of the balance figure. If you start your offers at 25-30% they are already in profit, and the point of this thread is to show what levels creditors will settle.

    So posts like this one are valuable.

    If you are happy with what they come back with, then you pay up and settle. .
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