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@.

    • pixie1
    • By pixie1 19th Jan 08, 12:23 PM
    • 1,385Posts
    • 2,665Thanks
    Full And Final Payment Letter Template?
    • #1
    • 19th Jan 08, 12:23 PM
    Full And Final Payment Letter Template? 19th Jan 08 at 12:23 PM
    Does anyone have a really good full and final payment letter template i could use please?

    Also, can you only ask for full and final payment on unsecured debt? I presume so.

    Also if there is anything i should know about asking for this, pro's con's ect please let me know

    Many thanks

    Debt Free At Last!
Page 1
    • fermi
    • By fermi 19th Jan 08, 12:29 PM
    • 39,050 Posts
    • 46,844 Thanks
    • #2
    • 19th Jan 08, 12:29 PM
    • #2
    • 19th Jan 08, 12:29 PM
    There is a detailed factsheet on "Full & Final Settlements" (including a letter) here: fers

    Particularly important is:

    Make sure you keep copies of any letters you send.
    • It is very important to make sure the creditor accepts your full and final settlement offer in writing. Make sure you keep a copy in case there is a dispute which can happen years later.
    • Never send a lump sum payment before the offer is accepted.
    • It is a good idea to get a third party such as a friend or relative to send the money on your behalf. This helps your agreement to be more legally binding if the creditor accepts the money via a third party.
    • If you are settling a debt that is large or particularly important, you could have a formal agreement drawn up by a solicitor and signed by you and the creditor. This is not normally necessary.

    Make sure the creditor agrees in writing to change your credit reference file details to show the balance is 'satisfied' and the date. Check this has been done by asking the credit reference agencies for a copy of your credit file.
    I'm a Board Guide on the Debt-Free Wannabe, Bankruptcy, Credit Cards and Loans boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of Board guides are not moderators. If you spot an inappropriate or illegal post then please report it to

    Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB

    IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed
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

547Posts Today

5,084Users online

Martin's Twitter
  • Just changed my profile description. Wish I was cool and brave enough to go for one of those really short ones!

  • Happy with my 15k time today, one of my fastest 1:18:56. Managing to keep up my 150k a month target.

  • That's why I'm asking question. To see whether people perceive they are or aren't.

  • Follow Martin