Full and final settlement help thread

tomterm8

ssparry wrote: »

omg this time yesterday I was planning on bankruptcy (on advice from cccs) I have £10k worth of debt to 2 creditors, AA loan and Mint cc. This thread has 'enspired' me so to speak, I could 'borrow' an amount of my very kind Dad to settle the accounts, pending their reactions of course.

I have copied the letter to send them both, however, shall I add in that "I am about to start bankruptcy proceedings, however, a family member has offered ££££ to settle the debt" would it be ok to say that I plan on bankruptcy (in other words you get nothing)???

I actually asked CCCS whether I could offer a final amount and he actually said tbh it'd be easier to go bankrupt - why pay when you can get out if it. Shocking, you know I do take full responsibility for my debts, I had a baby last year and her father left me during the pregnancy, I have been unable to return to work (problems with dd) hope to soon, but I currently have s hortfall of £56 p/m BEFORE paying the two debts.

H E L P P L E A S E

No. As a non-lawyer, I wouldn't use this kind of wording, since it might be considered a threat and wouldn't look good to an OR.

Maybe a better form of wording might be

"I have been in contact with PayPlan, but they have refused to handle my case as I have insufficient means to cover living expenses, even without paying existing debts.

In my discussions with the CCCS in my attempt to finance a DMP they have informed me that in the event of an bankruptcy, all foreseable income would be inalienable under the Social Security Administration Act 1992 :

Social Security Administration Act 1992
Miscellaneous
Certain benefit to be inalienable **

187- Subject to the provisions of this Act, every assignment of, or charge on-
(a)benefit as defined in section 122 of the Contributions and Benefits Act;
(b)any income-related benefit; or
(c)child benefit,
and every agreement to assign or charge such benefit shall be void; and, on the bankruptcy of the beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.

and that since I have no significant assets it would be in my interest to start bankruptcy proceedings.

Nevertheless as a responsible debtor, I wish to find a way to amicably settle all outstanding debts. I would therefore ask you to accept a notional payment of 10p a month on the debt, with the expectation that this would be reviewed in six months.

Alternatively, my father has offered to give me £1000 in order to settle all outstanding debts in full... "

then use the wording in the national debt line letter.

Please note, you might like to check my spealing, AND if you do write a letter, it's best to get it checked by lawyer first (for you, it's free:) .

magic_chimp

I've been sending reduced payments to Northern Rock for an unsecured personal loan.
Had an o/s balance of approx £2400 and offered £1450 as F&F which was originally rejected by phone, but wrote to them with the offer anyway.
Had a very aggressive phone call this morning saying that they couldn't accept reduced payments anymore and that as I'm a homeowner they would attempt to retrieve the money from the value of my house.
I'm not a homeowner (it's my girlfriend's house) but I was told that on my application I put down that I was a homeowner! She then went into nazi commandant mode asking why had I lied, would need to pass it on to the litigation/fraud department and investigate etc etc etc - basically a very nasty, threatening tone from a nasty threatening woman!_pale_
Luckily I have received a lump sum from my late fathers estate and as this woman put the wind up me I just thought 'sod it, take the whole outstanding payment now and let me pay this thing off to get you people off my back, which I what I did.
Now I'm off the phone and have calmed down a bit I'm thinking 'Hang on a minute, it's an unsecured loan so they have no rights over property that is owned and why would I have put down that I am a homeowner when I'm not?' - Doh, I think that I've been had.:mad:
I'm thinking of writing a letter to them a) to request a copy of the application where I put that I was a homeowner and b) to complain about the nasty and aggresive attitudes displayed by their member of staff.
Would it be worth doing this and am I right in thinking that with an unsecured loan the worst that they could do would be to pass it to a collection agency?

Weggy

I'm no expert, but I would think they'd be quite in their right to do you for fraud... why say you're a homeowner when you're not?

magic_chimp

Weggy wrote: »

I'm no expert, but I would think they'd be quite in their right to do you for fraud... why say you're a homeowner when you're not?

Thanks for that helpful comment Weggy, you really know how to make people feel better!. :T
The fact is that I wouldn't have put down that I'm a homeowner!!! It's not my home and I was quite upfront about this to the commandant on the phone.
My feeling is that they used undue pressure and bullying tactics to put me off guard and it worked.
I've written to them requesting a copy of the application where it says that I'm a homeowner - there was nothing to say this on the application summary that I was sent when I originally got the loan.

Weggy

Sorry, think I might have read the original post wrongly!

You're saying that they're claiming you ticked the homeowner box, when you're saying you didnt? You're right in asking for a copy of the application form...

jpegji

Hi,

I'm just about to write to my creditors to arrange f&f settlement. The thing is, the debts have changed hands so many time i'm unsure who to write to. What is the best way of finding out the details of the company's now in charge of the debts?

thanks

lililou

Always get teh offer in writing and make sure they follow it up with a receipt. I am still waiting for Virgin to confirm the debt is settled although they have updated the credit reference agency. I didn't get this in writing at the time. I was so releived with the offer on the telephone I just paid it without getting it in writing first. Now I'm thinking I made a mistake.

Also if you don't have the offer in writing and you pay a settlement figure they come back at you for the rest later on. It's happening to me 3 months afterwards right now with another company. Luckily I have the offer in writing and was able to fax it but if I hadn't had it I would be hard pushed to prove the offer existed.

Jemsy

lorraine_9 wrote: »

I've just negociated a full and final with Wescot, had a £9600 balance and got them down to £5000, with further persuasion on my part eventually got them down to £4800 so I was happy with 50% off to be honest. :j

I dealt with a lady called Jayne in Collections, really nice andnot pushy at all if you speak calmly and don't use and aggressive tactic (which I have done before) :mad:

If anyone wants her number at Wescot just email me.

Good luck to everyone, (M&S don't want to know about F&Fs they were VERY rude to me just in case anyone is using them)

Lorraine

Hi Lorraine

After reading through the posts in the forum for some advice, I came across one of yours of which you mentioned a lady that you spoke to at Wescot who was helpful and polite. I have a debt with Wescot myself and am looking to agree a final settlement with them. I have read some uneasy comments regarding final settlement discussions with Wescot and understand they are difficult and was therefore wondering whether it possible that you could give me the lady's department telephone number

I would be extremely greatful!!

Many thanks,
Jemma.

sigoona

Hi this is my first post and not sure if this has been covered.

First i must say thank you to this site for all the help it has given me and my family so far.

I have wrote to three of my outstanding credit agreements and explained a change of circumstances. and i have received a reply back from one accepting my full and final settlement figure and explained that my credit reference file will be marked "SATISFIED BUT FULL BALANCED NOT RECOVERED"

Is this Ok and nothing to worry about or will this come back and bite me later ???

pixie1

This is an amazing thread!

Ive been on a dmp for two years now, ive been lucky in that just two or three of my debts have gone to dca all of which have agreed to stick with my dmp repayment.

A relative has offered to help me out (will have to pay back but interest free) so im now looking at F&F settlemens. Do you think i could do this even though the majority of my debts havent been passed over to dca's?

Also, i did want to start making offers to those i owe the least too as i suspect i will need big money fr the likes of mbna. I know cccs dont like this but at least i could settle some debts and havemore monthly funds for the remainder should i not be able to afford the f&f settlement as im not sure this loan will cover everythingi owe.
Many thanks for any help

Pix