Full and final settlement help thread

Weggy

Firefly wrote:

.....through regular income/expenditure reports to the creditor who will have checked out your salary with your employer.

Errrr, that's not true. None of my creditors checked anything with my employer. Under the Data Protection Act, my company aren't allowed to divulge any information like that simply by it being requested from a creditor. Only a court can give the authority for that to happen......

Firefly

Weggy wrote:

Errrr, that's not true. None of my creditors checked anything with my employer. Under the Data Protection Act, my company aren't allowed to divulge any information like that simply by it being requested from a creditor. Only a court can give the authority for that to happen......

Oooh! OK, well perhaps I gave mine permission to do that, but I've certainly been 'above board' with regard to my income. They know everything!

Justindebt

What is the criteria for full and final settlements?

Would they take into account equity on one's house etcetera?

Or is it only available to people who have no assets as such?

Firefly

I guess the criteria is individual. I have a house but wouldn't be able to extend my mortgage as I took over payments after ex left and don't have a large enough salary to have the mortgage I've got!

My creditors have never asked questions about my posessions but have thoroughly examined my salary and income/expenditure.

The main criteria is surely are you likely to be able to pay.

Dr.Shoe_2

I settled my Natwest cards at 10% because I told them that I was starting bankruptcy proceedings and pointed out that they'd get nowt otherwise!

Dr.Shoe_2

A question: Can one pay a F&FS by installments?

kendra_2

Dr.Shoe wrote:

A question: Can one pay a F&FS by installments?

Generally not, some debt collection agencies have a policy where a F&F must be paid in full within 14-28 days maximum. Banks might be a bit more lenient and give towards the end of that timeframe.

fatbelly

Dr.Shoe wrote:

I settled my Natwest cards at 10% because I told them that I was starting bankruptcy proceedings and pointed out that they'd get nowt otherwise!

You need to be a bit careful with this as it's technically an offence within bankruptcy to treat one creditor preferentially to another, prior to petitioning.

But as creditors and DCAs are always making threats that they have no intention of carrying out (i.e.court action), perhaps you were giving them a taste of their own medicine!

Dr.Shoe_2

Indeed. They were my only creditors at the time though they obviously didn't know that!

fatbelly

fatbelly wrote:

Saw a letter today from MBNA offering to settle for 40p in the £.

Today I saw a letter from MBNA offering to settle for 30p in the £ !!! Again, this was an unsolicited offer, so further discount might be possible