Full and final settlement help thread

sourcrates

DrWatson1 wrote: »

Ok thanks. I'm also paying my creditors through a debt management company. Should I involve them when offering F&F, or am I better off dealing with my creditors directly?

Please tell me your not paying this company a monthly fee for its so called "services" ?

DrWatson1

sourcrates wrote: »

Please tell me your not paying this company a monthly fee for its so called "services" ?

No, it's a free service.

sourcrates

DrWatson1 wrote: »

No, it's a free service.

Oh Good !!


in that case you make all offers yourself, don't involve the DMP company, much better to do it yourself !!

January2015

We're hoping to make some F&Fs soon.

Does anyone have any experience, idea of achieveable percentage settlements for any of the following:

Akinika (for HFax)
Moorcroft (for VMoney)
Blair,Oliver, Scott (HFax)

Thanks for any advice

sourcrates

January2015 wrote: »

We're hoping to make some F&Fs soon.

Does anyone have any experience, idea of achieveable percentage settlements for any of the following:

Akinika (for HFax)
Moorcroft (for VMoney)
Blair,Oliver, Scott (HFax)

Thanks for any advice

I've never actually done a full and final settlement on individual debts before.


I have on my IVA, predators accepted 16.5k on a total debt of 57k, if that's anything to go by ?


Best advise is start low, remember DCA`s regularly offer 30-50% off without even having to ask, most of the time, so 30-40% of outstanding debt, is a good starting point.

January2015

Thanks sourcrates - we've unexpectedly got about £20k coming....as you can see from my signature that needs to go a long way However, we want to do the best we can with it. I'm still hoping to reduce the figure in my signature by £11k through the CCA failure route - so therefore my signature would reduce to about £73.5k. Don't think £20k is going to stretch that far but hopefully will beat that figure down a fair bit.

whambam

Hello,

How do debt collection agencies make decisions about a F&F offer through an income and expenditure sheet?

Logic says if your income surpases your expenses your expected to still make minimum payments of your surplus towards your debt therefor any f&F offers will be rejected?

I guess you will have to show your expenses are equal to or more than your income that you cannot afford to pay off your debts under the current arrangement.

Thanks.

PeanutPeen

Hi everyone, i'm not very familiar with the abbreviations and the like, but wondered if you had any advice regarding my situation. Sorry in advance for the long post...

I am dealing with 3 debt agences on behalf of my brother who had crippling mental illness last year - as a result his 3 debts (2 were with MBNA and one was with Sainsbury's bank - all credit cards) have now been passed to Idem Financial, Link Financial and Walcott.

The debt are Link - £3.5k, Idem, £3.5k and Walcott £10.8k.

My brother also owes 19k to HRMC.

All his debts are frozen and we are dealing with special departments withint the debt agencies because of his mental illness - they're very kind and helpful, but what i need to know is this.
My brother is now back in full time employment - his mental health is always teetering on the edge so i'm still dealing with it.
He's got a good income, but what i would like to do is agree settlments - however i don't have a lump sum of money to offer the agencies yet - he's going to start giving me about £500 a month to sort out the debt - where would you go from here with this amount coming in monthly?
Thank you.

fatbelly

PeanutPeen wrote: »

Hi everyone, i'm not very familiar with the abbreviations and the like, but wondered if you had any advice regarding my situation. Sorry in advance for the long post...

I am dealing with 3 debt agences on behalf of my brother who had crippling mental illness last year - as a result his 3 debts (2 were with MBNA and one was with Sainsbury's bank - all credit cards) have now been passed to Idem Financial, Link Financial and Walcott.

The debt are Link - £3.5k, Idem, £3.5k and Walcott £10.8k.

My brother also owes 19k to HRMC.

All his debts are frozen and we are dealing with special departments withint the debt agencies because of his mental illness - they're very kind and helpful, but what i need to know is this.
My brother is now back in full time employment - his mental health is always teetering on the edge so i'm still dealing with it.
He's got a good income, but what i would like to do is agree settlments - however i don't have a lump sum of money to offer the agencies yet - he's going to start giving me about £500 a month to sort out the debt - where would you go from here with this amount coming in monthly?
Thank you.

You're posting on a F&F (full & final settlement) thread inviting us to say 'save it up and do F&Fs' - I don't think that is the way forward.

There's too much debt to leave hanging around and 19k to HMRC is worrying.

You can ask for write-offs in mental health cases but when he's well he can make reasonable payments so I'm not sure that would work.

You could set up a debt management plan (dmp) but that's going to take 6 and a bit years to complete and you can't be sure the income will be available through that period.

I'm thinking bankruptcy if he is not a property owner. £705 fee (may be reducing on 5 April) and worst case is an income payment order (ipo) when he's earning, maximum length 3 years. No creditor harassment and nice clear rules, mostly.

leebo87

fatbelly wrote: »

It's the same answer to both - they can ask these questions and you can answer if you want to.

If your answers point to the only other option being payment by instalment over a long period (say over 5 years) as part of a debt management plan, and no house or wages or assets to enforce a court judgement, then they are more likely to accept a payment in full & final (partial) settlement

Thank you - I sent a letter back to them with a detailed expenditure sheet attached. Fingers crossed I'll get a result soon!