Last leg! Haggle Loan Settlement?

Toffy

Hi all

This week marks the last stage of my 2 year battle with debt! woohoo!

I have about £1500 outstanding on a halifax unsecured personal loan and have saved up the money to pay it all off.

Does anyone have an experience of haggling the settlement figure? it would be nice to have a bit of spending money to celebrate!!

Many Thanks!

Toffy

anyone? any advice would be appriciated!

Ossireo

I think this might be some sort of 'Full & Final Settlement' idea. This factsheet might help.

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=24_full_and_final_settlement_offers

Hopefully someone will be along that knows more :A

GeorgeUK

If the debts are with a debt collection agency, most people offer between 30%-50%. If it is still with the original creditor, 50%-70%.

The letter from the nationaldebtline is commonly used on the forum to do this, but you should also inform them that the money is available for a limited time only (like a loan from a relative). If they refuse your first offer, you should increase it a little with the second offer and hopefully they'll come back with a counter offer.

Just make sure that you receive a letter from them stating that they will accept the amount as "FULL AND FINAL SETTLEMENT" before sending payment. A partial settlement is of no use as they will then just come back later for the remaining amount.