Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Weggy
    • By Weggy 19th Nov 05, 10:20 AM
    • 463Posts
    • 98Thanks
    Weggy
    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?

    Thanks

    Last edited by MSE Archna; 21-06-2006 at 7:41 AM.
Page 83
  • National Debtline
    Thank you Sourcrates, helpful as always. I had this letter on email but as PDF attachment is it ok or I do wait for postal copy?
    Originally posted by somuchindebt

    Hi there


    Do you mean they have simply scanned the letter and attached it to an email as opposed to posting it out to you? Ultimately you can insist on confirmation in writing if that is what you want, but in principle this email they have sent you sounds very clear and if they or anyone else were to do a U-turn and try to collect the "full" debt at a later stage, that email would serve as very strong evidence in your favour.


    Dennis
    @natdebtline
    We 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 Steps
    • manarola
    • By manarola 7th Mar 17, 1:43 PM
    • 9 Posts
    • 2 Thanks
    manarola
    Hi I Have sent out F&F offers to my 4 creditors of 30% each as advised on this forum, today i received a letter from Link Financial in the form of a statement with exactly the same regular payment amount as with step change which states payment now payable and includes a bank giro credit slip! However, there is no mention of my letter of F&F. How do I respond?
    • fatbelly
    • By fatbelly 7th Mar 17, 7:16 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    Hi I Have sent out F&F offers to my 4 creditors of 30% each as advised on this forum, today i received a letter from Link Financial in the form of a statement with exactly the same regular payment amount as with step change which states payment now payable and includes a bank giro credit slip! However, there is no mention of my letter of F&F. How do I respond?
    Originally posted by manarola
    How long since you sent the letter?

    I would allow 3 weeks before sending a chase-up.
    • manarola
    • By manarola 8th Mar 17, 2:41 PM
    • 9 Posts
    • 2 Thanks
    manarola
    mailed letters out to all 4 creditors on 22 February, the letter in question from Link financial, relates to only one of three debts we have with them, this one in particular is in my wifes name, i tried to call them and they wouldn't speak to me without my wifes authorization.
    we are still on an up and running DMP that is being maintained, what's prompted them to start requesting contractual payments as opposed to payments received from the DMP with step change?
    The Letter also, completely ignores my F&F letter, and whether they have viewed or considered my offer
    • fatbelly
    • By fatbelly 8th Mar 17, 7:44 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    mailed letters out to all 4 creditors on 22 February, the letter in question from Link financial, relates to only one of three debts we have with them, this one in particular is in my wifes name, i tried to call them and they wouldn't speak to me without my wifes authorization.
    we are still on an up and running DMP that is being maintained, what's prompted them to start requesting contractual payments as opposed to payments received from the DMP with step change?
    The Letter also, completely ignores my F&F letter, and whether they have viewed or considered my offer
    Originally posted by manarola
    If no reply in a week, send the letter again, pointing out this is the second time you have made the offer.

    If the dmp payments are substantial, and the timescale short, this will put them off from considering your offer
    • somuchindebt
    • By somuchindebt 8th Mar 17, 8:32 PM
    • 74 Posts
    • 50 Thanks
    somuchindebt
    Hi there


    Do you mean they have simply scanned the letter and attached it to an email as opposed to posting it out to you? Ultimately you can insist on confirmation in writing if that is what you want, but in principle this email they have sent you sounds very clear and if they or anyone else were to do a U-turn and try to collect the "full" debt at a later stage, that email would serve as very strong evidence in your favour.


    Dennis
    @natdebtline
    Originally posted by National Debtline
    Hi Dennis, thank you. It is an attachment to the email I printed it off, looks fine. Thank you for your help.
    • manarola
    • By manarola 9th Mar 17, 3:22 PM
    • 9 Posts
    • 2 Thanks
    manarola
    Hi Fatbelly
    Firstly, thanks for the response,
    there has been an update..since last posting, we have received three letters from 'Link financial' relating to the 3 accounts they hold, which all say the same thing; 'unfortunately we are unable to accept this sum. If you would like to discuss the settlement offer please contact ......' (tbh i was expecting this as its only a 30% offer)
    Though, in another paragraph: 'following receipt and full clearance of the agreed payment, we will close your account and register a partial settlement with the credit reference agencies' . I am planning to phone them, does this mean they are willing to negotiate? And if so, i thought i may increase the percentage incrementally to a max of 55%? what do you think?
    The repayments are 316 a month to 4 creditors with 6 years left to pay (21K) Link owning half the total at around 10K
    Last edited by manarola; 09-03-2017 at 3:26 PM.
    • fatbelly
    • By fatbelly 9th Mar 17, 3:49 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    Hi Fatbelly
    Firstly, thanks for the response,
    there has been an update..since last posting, we have received three letters from 'Link financial' relating to the 3 accounts they hold, which all say the same thing; 'unfortunately we are unable to accept this sum. If you would like to discuss the settlement offer please contact ......' (tbh i was expecting this as its only a 30% offer)
    Though, in another paragraph: 'following receipt and full clearance of the agreed payment, we will close your account and register a partial settlement with the credit reference agencies' . I am planning to phone them, does this mean they are willing to negotiate? And if so, i thought i may increase the percentage incrementally to a max of 55%? what do you think?
    The repayments are 316 a month to 4 creditors with 6 years left to pay (21K) Link owning half the total at around 10K
    Originally posted by manarola
    OK, you would think it's in their interest to come to some sort of a deal instead of receiving payments over 6 years, with all the uncertainty that brings.

    Yes they are indicating they will deal, but have not mentioned a figure.

    It is OK to phone them but don't be forced too high too quickly.

    If they will only move to say 75% then confirm where you both are in writing and invite them to meet you half-way.
    • manarola
    • By manarola 9th Mar 17, 4:09 PM
    • 9 Posts
    • 2 Thanks
    manarola
    Thanks Fatbelly for that, will try tomorrow!
    By the way, in my original letter i mentioned that we have a sole income and that may be in decline in the future, also that the lump sum forming the basis for this offer was from our in- laws, and as such was to be spread amongst our creditors on a pro rata basis. Should i argue (if they go too high) that they would have too big a share of the lump sum to facilitate my fully settling with the other creditors, and that in the event, my in laws may not be prepared to release the lump sum?
    • fatbelly
    • By fatbelly 9th Mar 17, 7:18 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    Thanks Fatbelly for that, will try tomorrow!
    By the way, in my original letter i mentioned that we have a sole income and that may be in decline in the future, also that the lump sum forming the basis for this offer was from our in- laws, and as such was to be spread amongst our creditors on a pro rata basis. Should i argue (if they go too high) that they would have too big a share of the lump sum to facilitate my fully settling with the other creditors, and that in the event, my in laws may not be prepared to release the lump sum?
    Originally posted by manarola
    Personally I wouldn't go in to too much detail.
    • manarola
    • By manarola 10th Mar 17, 4:01 PM
    • 9 Posts
    • 2 Thanks
    manarola
    UPDATE : Just come off the phone to Link Financial, he said that i needed to make a new offer on each account which they would pass onto the settlements team, i asked if i could speak to the settlements team directly and was told they don't except calls! I then asked if he would negotiate and he said thats not how they do things and that i should simply try new offers so i made a 45% offer on each account and he said that i shoul call back tomorrow to see if they had been accepted!
    • fatbelly
    • By fatbelly 10th Mar 17, 5:17 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    Good. They don't negotiate but will consider different offers until you both reach a mutually agreeable position.

    Have they said yet what percentage they are looking for? If not I wouldn't go higher than 45%.
    • manarola
    • By manarola 11th Mar 17, 2:29 PM
    • 9 Posts
    • 2 Thanks
    manarola
    no decision on any of my link 45% offers as yet, so ring back Monday. I asked if they had a percentage in mind, and he did the third party thing again and said ' I don't work in the settlements team, so i don't know what percentages they work on! Are you saying If they reject my 45% offers, to not make another offer, and wait it out?

    On a separate note had a reply from wescot who hold 2 accounts which i made 30% offers on, so far they have made me a partial settlement offer of 80%, on one account ,the other account requiring signed authorization from the account holder, presumably because the account is in my wife's name.
    Last edited by manarola; 11-03-2017 at 2:33 PM.
    • manarola
    • By manarola 15th Mar 17, 3:31 PM
    • 9 Posts
    • 2 Thanks
    manarola
    Hi Fat Belly
    Update; Link haven't accepted my 45% offers but have made counter offers on 2 at 75% and the biggest one (over 6K) at 92% !!
    I have asked them to put their offers in writing as you advised and they said they would, what action should i take in regards to this, when their offers arrive?
    • raz1988
    • By raz1988 15th Mar 17, 6:49 PM
    • 4 Posts
    • 0 Thanks
    raz1988
    Advice
    Hello,

    I need some advice please i have debt around 17k 6 credit card i am paying small amount to the debt company's i have some money to pay the big ones off I wote a Final settlement offer i have offered them 20-30% of the debt

    my question is should i write about my family and son illness all which is true and should i send supporting documents to show my son illness.

    I am writing about the money which you are claiming on the above account.

    I can confirm that I am unable to pay the money which I owe in full.

    My circumstance has changed my son has been diagnosed with Nephrotic Syndrome which his kidneys are not working as it should. We have to visit the children hospital quite often for check ups and to have blood tests. Due to his illness he needs a lot of care. I will need to cut back my hours at work to look after him also my wife is pregnant and our baby is due soon.

    This Debt and my son illness is causing us a lot if stress and is stopping us to give him 100% of our attention . My relative is prepared to offer me 1500. I want to offer this sum as an ex-gratia payment, in full and final settlement of the account. The offer from my relative will not be available forever and my relative will not make the payment unless the offer is accepted.
    This offer is made on the clear understanding that, if you accept it, neither you nor any associate company will take any other action to collect or enforce this debt in any way and that I will be released from any liability.

    If you accept this offer, please confirm that you will mark my credit reference agency file to show that the above account has been paid and closed.

    I can pay the amount I have offered of receiving your written agreement of this offer.

    Please give me details of how I can pay.

    I look forward to hearing from you.


    Yours faithfully
    • fatbelly
    • By fatbelly 15th Mar 17, 7:43 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    no decision on any of my link 45% offers as yet, so ring back Monday. I asked if they had a percentage in mind, and he did the third party thing again and said ' I don't work in the settlements team, so i don't know what percentages they work on! Are you saying If they reject my 45% offers, to not make another offer, and wait it out?
    Originally posted by manarola
    Hi Fat Belly
    Update; Link haven't accepted my 45% offers but have made counter offers on 2 at 75% and the biggest one (over 6K) at 92% !!
    I have asked them to put their offers in writing as you advised and they said they would, what action should i take in regards to this, when their offers arrive?
    Originally posted by manarola
    You could ask to speak direct to the settlement team, though I'm not convinced any such thing exists. You would have to make it clear that your final offer was X% and if that was not accepted the lump sum goes elsewhere. Ideally X = 60, if you can afford that.
    • fatbelly
    • By fatbelly 15th Mar 17, 8:00 PM
    • 10,669 Posts
    • 7,966 Thanks
    fatbelly
    I am writing about the money which you are claiming on the above account.

    I can confirm that I am unable to pay the money which I owe in full.

    However, a third party is prepared to offer 1500 as an ex-gratia payment in full and final settlement of the account. This offer is made on the clear understanding that, if accepted, neither you nor any associate company will take any other action to enforce or pursue this debt in any way whatsoever and that I will be released from any liability.

    If you accept this offer, please confirm that you will mark my credit reference agency file to show that the above account has been paid and closed.

    Payment can be made within 14 days of receiving your written agreement of this offer and method of payment

    I look forward to hearing from you.

    Yours faithfully
    Originally posted by raz1988
    The above will do for now - it's useful to make it clear that the money is coming from a third party.
    • raz1988
    • By raz1988 16th Mar 17, 8:58 AM
    • 4 Posts
    • 0 Thanks
    raz1988
    Hi,

    Thank you for the advice i will take out all the information i wrote about my wife and son and post it today
    • Twins
    • By Twins 27th Mar 17, 6:18 PM
    • 197 Posts
    • 720 Thanks
    Twins
    Need some advice on FF and what's best?
    Hi everyone, it's been a while since I've posted. I've been quietly paying my DMP each month but am anxious to start reducing the number of years I've got left on DMP. According to SC, I'll be debt free in Jan 2023 but I hate the thought of having to wait that long. I've got 17,388 left to pay.

    So I'm after some advise please regarding F&F payments and if this is a sensible choice? I've got a couple of smaller debts that I thought I could chip away at first e.g.:

    NCO Arrow - 485
    Santander Credit - 575
    Link - 1450
    etc...

    Then the largest two:

    PRA Group - 3560
    Westcot - 2989

    I was first considering paying the NCO Arrow one and offering 300. Would this be a sensible approach? I have around 500 could use to pay towards some debts but would a F&F work best or just use the 500 to pay off the larger debt?

    What other things should I be aware of? I understand that if I offer F&F then the credit file is makes as partially settled and remains on file for 6 years which isn't great but I really want to clear these debts.

    Any advise would be most welcome!

    Thank you all!
    • Twins
    • By Twins 29th Mar 17, 8:31 AM
    • 197 Posts
    • 720 Thanks
    Twins
    Hi everyone, it's been a while since I've posted. I've been quietly paying my DMP each month but am anxious to start reducing the number of years I've got left on DMP. According to SC, I'll be debt free in Jan 2023 but I hate the thought of having to wait that long. I've got 17,388 left to pay.

    So I'm after some advise please regarding F&F payments and if this is a sensible choice? I've got a couple of smaller debts that I thought I could chip away at first e.g.:

    NCO Arrow - 485
    Santander Credit - 575
    Link - 1450
    etc...

    Then the largest two:

    PRA Group - 3560
    Westcot - 2989

    I was first considering paying the NCO Arrow one and offering 300. Would this be a sensible approach? I have around 500 could use to pay towards some debts but would a F&F work best or just use the 500 to pay off the larger debt?

    What other things should I be aware of? I understand that if I offer F&F then the credit file is makes as partially settled and remains on file for 6 years which isn't great but I really want to clear these debts.

    Any advise would be most welcome!

    Thank you all!
    Originally posted by Twins

    Just re-posting again hoping it gets spotted. Also, I had a thought is it worth offering F&F when my debts should be cleared in 6 years if I continue to pay them on the DMP? With F&F the default stays on your record. If I pay the agreed amounts via DMP will this look better on the credit file?

    Thanks again everyone!
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

1,442Posts Today

6,802Users online

Martin's Twitter
  • The strange thing with a 4yr old is having to play & smile while inside feeling sick for those in trauma in my birth town #Manchester

  • Just a quick ta-ta for now. I'm taking the week off for family time with mini and Mrs MSE. So I won't be here much. Back after the bank hol

  • Ugh another one trying it! Beware https://t.co/Ab9fCRA76F

  • Follow Martin