Is this too good to be true?

timdave

I will have to call them tommorow, 30% of £5000k from what i have read dont think they will budge from that 30%.

They have never bothered me or chased up increased payments like some of the other "pain in the !!!!" creditors i have had to deal with, but heard all sorts of bad stories about them on the web.

I would need to pay by credit card and then pay that back out my redundancy pay when i get the boot in Jan09, so I am really in 2 minds what to do!

GeorgeUK

If you put it on a card it will probably be put through as a money transfer so will be at a very high interest rate - usually over 2% per month.

Could you get a new creditcard? Some allow you to transfer to current accounts as well as creditcards. There are a few with a promotional 0% rate which do these "super balance transfers"

charlytune

I have a £1440 debt with Thames Credit arising from my old student overdraft with Barclays bank, I received my letter today offering 30%. I've only been paying off £10 a month over the last few years. If I pay 30& that's £432, I could just about do it as I've got £150 left over from my holiday and between me & boyfriend could probably get the rest.

But is it worth it? Or should I carry on paying the £10 a month?

GeorgeUK

Have they put a default on your account? If not then they may still do so which will remain on your file for 6 years. Is it a CCJ yet?

As it is an overdraft, you won't be able to do the CCA request as there is no credit agreement so your only option is to continue paying it or pay this reduced amount. Just make sure that it is in "full and final" settlement and not partial settlement.

Don't get into more debt to pay it, tell them what you can afford and they may agree to reduce it to this.

timdave

Just an update.
Contacted Thames told them i was trying to get money together, they have extended the offer until 30th of SEPT.
I can pay them, but this gives a little more time to think things through, and see if A/K goes tits up. (LOL).
The call staff are full of !!!! oooooh thats a good offer isnt it we will knock of the od £12.50 if u get the 1500, but as u lot are aware some are getting 150 deals to clear 10000+ debt if thats you i would def go for it.

maxriz

More updates.

I received a follow up letter today from AK which reads;

"We refer to our recent telehone conversation.

It was agreed that we would accept the sum of £150.00 in full settlement of the debt and, it is important that payment is made in accordance with the terms set out below.

Payment 1 Due Date 29/09/08 £150.00
Payment 2 Due Date
Payment 3 Due Date
Payment 4 Due Date

We look forward to receiving your payment by the agreed dates but must emphasise that if the above terms are breached, the full balance will become payable".....

Well obviously I did not agree to those terms as at the time I could not have guaranteed to get the £150.

To be honest this letter makes me want to tell them to go and "P#%s on their chips" but having thought about the offers to clear my 4 accounts totalling nearly 14k for £600.00 it is, I believe, a good offer.

I have considered the fact that AK and/or Thames Credit may be in trouble but as with the various banking/insurance problems around currently, if the companies did go under, the debt would pass to another organisation and off we would go again!

I will though be requesting a writen receipt for the payments including the "full and final" details.

Although this does not clear my debt, it is a substatial reduction that would take decades to deal wth under my current pay back terms. Also this will allow me to concentrate on reducing other debts that remain and this also makes me feel a little better in terms of making the outstanding amounts a little more manageable,for now anyway

charlytune

GeorgeUK wrote: »

Have they put a default on your account? If not then they may still do so which will remain on your file for 6 years. Is it a CCJ yet?

As it is an overdraft, you won't be able to do the CCA request as there is no credit agreement so your only option is to continue paying it or pay this reduced amount. Just make sure that it is in "full and final" settlement and not partial settlement.

Don't get into more debt to pay it, tell them what you can afford and they may agree to reduce it to this.

Thanks George, I'm not sure - what does it actually mean to have a default on the account? I've been paying by direct debit for just over two years, before that I was bit hit and miss iwth my payments but generally apid most of htem on time. It isn't a CCJ.

I spoke to them last night and they have said they will take £433, and that it will be full & final payment & that it will be taken off my file. However the adviser said they would not send a letter, that the letter I have already sent is proof they will accept the 30%, and that they will send a letter AFTER I have paid - is this ok? He is going to ring me back after the weekend.

Much obliged for help!

GeorgeUK

Never seen it online, but this mock one shows the default and the date it was listed.
http://www.experian.co.uk/downloads/consumer/mockCreditReportFeb07.pdf

C3 shows 000000 meaning that there have been no late payments to that account.
C4 shows the default date and amount. The Status history is 8 showing 8 late payments.

I'm not sure if "full settlement" is the same as full and final but i can't see how it won't be classed as this so it sounds okay. Can anyone else comment on this wording?

RAS

charly

You need to know exactly what they mean by "taken of my file".

marked as Settled, partially settled, fully setlled - default removed - what?

Also is this debt actually on you file or is it over 6 years since the default?

JOHNSTONE1

Hello,

My husband has debt with RBS for £27891.06 and i have been told by a company called tenon recovery who are now dealing with the debt on RBS's behalf ( but are not a debt collection agency) that RBS are willing to write off the remainder of the debt if we pay a lump sum of £12000. He said that the rest will be written off and that his credit file will be altered to say that the debt had been paid in full.

The amount he is paying through the DMP is a lot higher per month than the amount i would be paying back on a loan so to completely clear the debt it seems like a good idea and would actually be saving us money on our monthly outgoings.

I'm just worried after reading all this if i should trust him or are they going to take my 12k and then demand more payments? xx