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  • 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 98
    • selinek
    • By selinek 6th Oct 17, 11:50 PM
    • 9 Posts
    • 3 Thanks
    selinek
    You can offer a sum in settlement on most debts - enforceable or not. It's just a matter of what to offer depending on how strong your case is. If you've been on a dmp for 9 years the creditors should have issued defaults at the start of the process and they will have now dropped off your file. They can't issue a second one.
    Originally posted by fatbelly
    Thank you fat belly thatís a great help .... I take it they canít register the arrears either baring in mind theyíve fallen off my credit file after 6 years.
    • fatbelly
    • By fatbelly 7th Oct 17, 8:14 AM
    • 11,378 Posts
    • 8,538 Thanks
    fatbelly
    Thank you fat belly thatís a great help .... I take it they canít register the arrears either baring in mind theyíve fallen off my credit file after 6 years.
    Originally posted by selinek
    You are correct - the whole entry disappears.

    The only problem may be if they did not mark your entry as defaulted but instead marked it 'arrangement to pay' - it that case the entry would stay until 6 years after it was paid off!

    You should probably check.
    • selinek
    • By selinek 8th Oct 17, 9:08 AM
    • 9 Posts
    • 3 Thanks
    selinek
    You are correct - the whole entry disappears.

    The only problem may be if they did not mark your entry as defaulted but instead marked it 'arrangement to pay' - it that case the entry would stay until 6 years after it was paid off!

    You should probably check.
    Originally posted by fatbelly
    It has been around 3 years since this account had dropped of my account. I think it was marked as a default. Canít be 100% , memory isnít what it used to be . Thereís nothing on the 3 credit files. Iím assuming it was a standard letter with some scare tactics thrown in! Thanks again fat belly
    • Jackelliot
    • By Jackelliot 8th Oct 17, 10:21 AM
    • 4 Posts
    • 2 Thanks
    Jackelliot
    Hi. Me again!! On most of my debts they have been showing as "arrangement to pay" since the start of my DMP. Only 1 of my debts went into default. Can I challenge the others back, in order to request they put them into default???
    • fatbelly
    • By fatbelly 8th Oct 17, 12:39 PM
    • 11,378 Posts
    • 8,538 Thanks
    fatbelly
    Hi. Me again!! On most of my debts they have been showing as "arrangement to pay" since the start of my DMP. Only 1 of my debts went into default. Can I challenge the others back, in order to request they put them into default???
    Originally posted by Jackelliot
    Yes, see this

    http://forums.moneysavingexpert.com/showthread.php?p=72059053#post72059053
    • getting2grips
    • By getting2grips 8th Oct 17, 1:12 PM
    • 3 Posts
    • 0 Thanks
    getting2grips
    Hello i have been reading about 'full and final settlement'. I fell into default with 4 lenders in 2009 and have been on a reduced payment plan since making affordable payments to all parties following advice i got from national debtline at the time. I wasnt aware until reading forums on here that the default lasted 6 years from start date i had thought it would be 6 years after i had repaid the debt so this is good to know and i am going to check my credit file (been to frightened to look until now!!)
    I have paid more than half the debt but last year my husband lost his job and i have needed to reduce my payments which will just take forever to repay. I am thinking about offering a full and final settlement if i can and this would be like a weight lifted! One concern i have is any impact on my credit file if this is only marked as partial settlement? Is it better to continue to try to pay it in full even though it will probably take me at least another 5 years? I would be grateful for any advice and also given i have paid over 50% how much would you suggest i look to offer on f&f? I hadnt been aware of these options so finding these forums really informative thank you
    • fatbelly
    • By fatbelly 8th Oct 17, 1:23 PM
    • 11,378 Posts
    • 8,538 Thanks
    fatbelly
    Hello i have been reading about 'full and final settlement'. I fell into default with 4 lenders in 2009 and have been on a reduced payment plan since making affordable payments to all parties following advice i got from national debtline at the time. I wasnt aware until reading forums on here that the default lasted 6 years from start date i had thought it would be 6 years after i had repaid the debt so this is good to know and i am going to check my credit file (been to frightened to look until now!!)
    I have paid more than half the debt but last year my husband lost his job and i have needed to reduce my payments which will just take forever to repay. I am thinking about offering a full and final settlement if i can and this would be like a weight lifted! One concern i have is any impact on my credit file if this is only marked as partial settlement? Is it better to continue to try to pay it in full even though it will probably take me at least another 5 years? I would be grateful for any advice and also given i have paid over 50% how much would you suggest i look to offer on f&f? I hadnt been aware of these options so finding these forums really informative thank you
    Originally posted by getting2grips
    If it was defaulted at the time (and if not, see above) then the whole entry would have dropped off in 2015. It therefore matters not one jot how the lenders say they will mark your credit file.

    If you can access the sums for a settlement, go for it. What will matter to the lender is how long the present process will take for them to get their money back. As that is at least five years they should be interested. If you start at 30% you can go up from there.
    • getting2grips
    • By getting2grips 8th Oct 17, 1:52 PM
    • 3 Posts
    • 0 Thanks
    getting2grips
    Thank you fatbelly that is great to know! There were all defaulted at the time znd i have just been on the credit club and it showed excellent credit score with no missed payments! Thats amazing as i really thought i would be poor until i had paid it all! I will defo look at how i can make an early offer and can begin to pick mysdlf back up!
    I know my mortgage deal isnt brilliant but thought i woudnt be abld to get a better one but based on this i might have a look!
    • getting2grips
    • By getting2grips 8th Oct 17, 1:59 PM
    • 3 Posts
    • 0 Thanks
    getting2grips
    Sorry one other question
    I took out a secured loan with picture in 2005. It was taken over by webb solutions and then idem servicing in 2014. Since idem took over i have not had any statements and have no idea what my balance is etc - i had thought that annual statements were mandatory is that true? If so how should i approach them? Is anyone else in the same position?
    I know the interest rate is not competitive and i have quite a bit of equity in my home now so was debating trying to add this to my mortgage which should make it much cheaper and save a fortune on interest/reduce the term?
    Any advice gratefully received. Thank you
    • Jackelliot
    • By Jackelliot 8th Oct 17, 2:00 PM
    • 4 Posts
    • 2 Thanks
    Jackelliot
    Fatbelly, you are a genius!!!! Many thanks for that!!!! I will certainly be contacting companies tomorrow!! Have a great weekend!!
    Thanks!
    • pbsmiles
    • By pbsmiles 10th Oct 17, 1:19 PM
    • 99 Posts
    • 57 Thanks
    pbsmiles
    Hi All - been watching this for a while and am now in a position to begin negotiating. I have 38k debt which has been in a DMP since 2009. Currenting paying £110 a month and the date for finish is 2046 which will make me 79 years old.

    I am going in with 10k which is about 26% of the total amount.

    The split is
    PRA 5513, PRA 4856, Arrow 3255, Next 2181, IDEM 1824, Barclay Loans 18,319 and Robinson Way 1229.

    Has anyone had any experiences with these companies and can offer me feedback/advice.

    I know 10k is low but when I did a chat with national debt line they said that due to the DMP being 8 years old and the term being another 26 years, it may be better for them to take a sum now rather than wait forever.

    Thank you
    Originally posted by pbsmiles
    I today paid 4.7k and cleared the 18.3k loan after barclays accepted my offer and put it in writing. Total debt now 19.9k still negotiating the rest. Stepchange has already upped their payments spreading the £18 a month that went to Barclays over the other 7 creditors. PRA have offered 40% and 45%, Next wouldn't accept offer same as Arrow but also wouldn't give me what they would accept and the others 90%. Watch this space.
    • peteuk
    • By peteuk 10th Oct 17, 1:26 PM
    • 331 Posts
    • 145 Thanks
    peteuk
    I've just paid off two provident loans with Lowell...30% at £700 paid

    I phoned them and offered 30% for one loan, which was rejected. I called back a few days later to offer the same amount which they said they couldn't do. So I added £1 and it was accepted.

    I then made an offer on the second loan, which was £1 short of what I had originally planned to offer. They accepted that. Within 2 hours we had email confirmation that they would accept this as a full and final settlement. They even allowed us to pay one loan a month.
    Proud to be dealing with our debts
    Starting debt 2005 £63.7K. Current debt £3K and decreasing. Debt free at some point in 2018
    Hoping to be debt free ASAP!
    • selinek
    • By selinek 10th Oct 17, 2:06 PM
    • 9 Posts
    • 3 Thanks
    selinek
    Hi peteuk and pbsmiles. Encouraging news. Just a query did either of you go down CCA REQUEST first or just went and made offers ?
    • pbsmiles
    • By pbsmiles 10th Oct 17, 2:22 PM
    • 99 Posts
    • 57 Thanks
    pbsmiles
    Hi peteuk and pbsmiles. Encouraging news. Just a query did either of you go down CCA REQUEST first or just went and made offers ?
    Originally posted by selinek
    Hi,
    i went straight to offer, had been on a DMP for 8 years started at 70k got down to 38.8k, to be honest I just want it done and dusted as its been a stressful time so I just went straight with offers.

    Hope this helps and good luck.
    • selinek
    • By selinek 10th Oct 17, 3:46 PM
    • 9 Posts
    • 3 Thanks
    selinek
    Hi,
    i went straight to offer, had been on a DMP for 8 years started at 70k got down to 38.8k, to be honest I just want it done and dusted as its been a stressful time so I just went straight with offers.

    Hope this helps and good luck.
    Originally posted by pbsmiles
    Yes it does. Iím going down the CCA route but gives me hope that offers can be accepted if theyíre enforceable or otherwise. Thanks for sharing must a weight of shoulders. Good luck for the other negotiations .... on and upwards
    • fatbelly
    • By fatbelly 10th Oct 17, 8:11 PM
    • 11,378 Posts
    • 8,538 Thanks
    fatbelly
    I've just paid off two provident loans with Lowell...30% at £700 paid

    I phoned them and offered 30% for one loan, which was rejected. I called back a few days later to offer the same amount which they said they couldn't do. So I added £1 and it was accepted.

    I then made an offer on the second loan, which was £1 short of what I had originally planned to offer. They accepted that. Within 2 hours we had email confirmation that they would accept this as a full and final settlement. They even allowed us to pay one loan a month.
    Originally posted by peteuk
    It's just a thought but Lowell have been major players in debt buying over the past few years and also pretty litigious. They are sitting on a 'book' worth £1.9 billion, on paper.

    From 1 October it is going to be more difficult for them to take court action as there is a new pre-action protocol.

    I wonder if it is going to make them more receptive to settlement deals?
    • DrWatson1
    • By DrWatson1 10th Oct 17, 9:03 PM
    • 113 Posts
    • 67 Thanks
    DrWatson1
    From 1 October it is going to be more difficult for them to take court action as there is a new pre-action protocol.
    Originally posted by fatbelly
    Interesting - do you have more details regarding this?
    • fatbelly
    • By fatbelly 10th Oct 17, 9:15 PM
    • 11,378 Posts
    • 8,538 Thanks
    fatbelly
    Interesting - do you have more details regarding this?
    Originally posted by DrWatson1
    https://debtcamel.co.uk/letter-before-claim-ccj/
    • saffsmum
    • By saffsmum 16th Oct 17, 10:39 AM
    • 19 Posts
    • 16 Thanks
    saffsmum
    Hello, apologies if this has already come up, we sent a settlement offer (around 30% of the debt owed) to one of our creditors, (Managed by Westcot). They rejected our offer but gave us a figure they would accept, which was around 50%. Having read posts about Wescot on these forums I was surprised how generous it was. I accepted. They are now saying it was an error and that the actual offer should have been 90%. I have spoken to an agent and a Team leader at Westcot so far but they have both said that there is nothing I can do and they can't accept the 50% amount they originally offered. I have the email. Where do I stand on this? Can they just move the goalposts like that?
    • sourcrates
    • By sourcrates 16th Oct 17, 11:37 AM
    • 12,213 Posts
    • 11,659 Thanks
    sourcrates
    Hello, apologies if this has already come up, we sent a settlement offer (around 30% of the debt owed) to one of our creditors, (Managed by Westcot). They rejected our offer but gave us a figure they would accept, which was around 50%. Having read posts about Wescot on these forums I was surprised how generous it was. I accepted. They are now saying it was an error and that the actual offer should have been 90%. I have spoken to an agent and a Team leader at Westcot so far but they have both said that there is nothing I can do and they can't accept the 50% amount they originally offered. I have the email. Where do I stand on this? Can they just move the goalposts like that?
    Originally posted by saffsmum
    Hi,

    Unfortunately yes they can, Wescot only manage accounts on behalf of there clients, they have autonomy up to a certain point, at which time they must refer back to there clients for an answer.

    In your case it looks like someone at wescot took it upon themselves to be a decision maker, without the necessary authority from the client, as soon as this was realized, the offer was rejected.

    That is the most likely scenario.

    You can write and complain, exhaust there complaints procedure, you wont win, but you may obtain a small amount of compensation for your troubles.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there, and delete spam.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Legal advice see : http://legalbeagles.info/
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