Full and final settlement help thread

DrWatson1

Thanks Fatbelly.

Could you or anyone else give any advice as to how to find a reputable debt solicitor in my area?

And would anyone have any idea of likely costs? I have 5 agreements I'd like someone to take a look at, and I'd guess 1-2 of them might be worth a letter.

Carboot crazy - you can find the information you want here:

http://consumer.newbeginningsresources.co.uk/credit/dealing-with-debt/consumer-credit-act/prescribed-terms/

In sum, you are looking for details on:

• repayments
• Term of credit (length of loan)
• credit limit
• How much interest they will charge

So for example, in my situation the agreement I'm disputing contains none of these in the small print - it's just an application form.

A form that does contain the items has for example wording like "The Bank will determine the credit limit of the card account...."

Hope this helps - there is plenty of additional information on the internet. However, if you want a definitive answer, you'll have to do the same as me as source a solicitor.

DopeyTom

Hi, could anybody link me to a good full and final settlement letter template, preferably one that explains that the money I can offer has come from a family memeber?

sourcrates

DopeyTom wrote: »

Hi, could anybody link me to a good full and final settlement letter template, preferably one that explains that the money I can offer has come from a family memeber?

This is the National Debtline one, edit it to your own circumstances :

https://www.nationaldebtline.org/EW/sampleletters/Pages/Full-and-final-settlement-offers-%28sole-name%29.aspx

DopeyTom

sourcrates wrote: »

Arrow global will be the owner of the account, shoesmiths are there tame solicitors.

Bypass the monkey and go straight to the organ grinder.

I just rang Arrow Global & asked whether I could offer a full & final settlement to them directly (rather than offering it to Shoosmiths, who are collecting my debt on their behalf).
They said that I could not deal with them directly, & a F&F settlement offer would have to go to Shoosmiths...

Julie67

We have requested CCA from Nationwide. They basically made a mess of it, we put in a complaint and have finally had a letter saying they uphold our complaint, enclosing statements from the date the CC started and that they will be sending a reconstituted copy within 10 days. Fair enough. Following day another letter offering a settlement at a reduced rate and to give them a ring.
They offered 30% off the amount owed which we don't have and wouldn't accept anyway.
Im just wondering why they've done this. Does this mean they can't produce the T&C's? None of our other creditors have ever offered an early reduced settlement figure.
Has anyone else had any dealings with Nationwide?
Thanks

susan123123

Hi,
Really in need of some advice/suggestions and would be grateful for any given. Three years ago my business collapsed and I was unable to repay my loans. In desperation I contacted SC and they arranged a DMP for me which I only pay a nominal amount every month. The loans to 10 different credit card companies amounted to £53k. All the loans have been defaulted and apart from a couple are now transferred to third parties.

Six months ago one of the DPCs, Robinson Way wrote to me offering a 50% FF settlement offer on the £7500 loan but SC advised me against accepting the offer.......giving the reasons that I have to treat all the creditors the same and that other creditors may question this FF settlement. On that advice I turned down the offer.

Then last week I received from the same DPC another offer of 30% but to my surprise, SC again advised me against accepting the offer. On the present DMP it is going take me decades to clear my debts. I feel opportunity like this is a chance for me to start trying to reduce and eventually pay off all my debts. Btw my mother in law, despite her restricted financial situation, is offering to help with this FF settlement.

Thanks

StopIt

Hi Susan


While SC are technically correct, you can always go self managed and settle whichever debts you like, however you (And the creditors) like to.


However, if you have multiple historical loans, it may be worth sending CCA requests to the debts that are regulated by the CCA (So no overdrafts, utilities, HMRC Tax and VAT liabilities, benefit payments) to see if they're in order and indeed enforceable.


You'll likely get far better results with DCAs if you take control, self manage and fire off these requests. Worst case if that they're enforceable and you can still negotiate F&Fs if you want, best case is that they're unenforceable and you can either settle on the cheap or walk away.

DrWatson1

What StopIt said.

But yes, fire off those CCA requests. I've had 2 creditors write to me saying they will stop pursuit of around £10k worth of debt as they were unable to comply with my request.

So while settling for 30% of £7500 might seem like a good offer, settling for 0% is even better.

fatbelly

susan123123 wrote: »

Hi,
Really in need of some advice/suggestions and would be grateful for any given. Three years ago my business collapsed and I was unable to repay my loans. In desperation I contacted SC and they arranged a DMP for me which I only pay a nominal amount every month. The loans to 10 different credit card companies amounted to £53k. All the loans have been defaulted and apart from a couple are now transferred to third parties.

Six months ago one of the DPCs, Robinson Way wrote to me offering a 50% FF settlement offer on the £7500 loan but SC advised me against accepting the offer.......giving the reasons that I have to treat all the creditors the same and that other creditors may question this FF settlement. On that advice I turned down the offer.

Then last week I received from the same DPC another offer of 30% but to my surprise, SC again advised me against accepting the offer. On the present DMP it is going take me decades to clear my debts. I feel opportunity like this is a chance for me to start trying to reduce and eventually pay off all my debts. Btw my mother in law, despite her restricted financial situation, is offering to help with this FF settlement.

Thanks

The reason why you should not accept an opening offer is that there is probably room to manoeuvre - as you discovered.

SC are not correct to say that you are required to do anything in a dmp - it is an informal solution. Nor will other creditors be affected by your decision to clear your debts, except that they may get a larger share of your monthly payment.

It is true to say that you should not prefer one creditor over another in the lead-up to a DRO or bankruptcy . But that is not what is happening here. In any case a payment by a third party is fine - a third party can always do what they want with their money.

One further point - the FCA now frowns on debt management companies (and has closed some) who propose dmps of unreasonable length in order to maximise their fees - when an insolvency solution would be more appropriate. You say that your dmp will take decades.

Can you tell us why a Bankruptcy/IVA would not be a better solution for you?

[Deleted User]

DrWatson1 wrote: »

Thanks Fatbelly.

Could you or anyone else give any advice as to how to find a reputable debt solicitor in my area?

And would anyone have any idea of likely costs? I have 5 agreements I'd like someone to take a look at, and I'd guess 1-2 of them might be worth a letter.

Carboot crazy - you can find the information you want here:

http://consumer.newbeginningsresources.co.uk/credit/dealing-with-debt/consumer-credit-act/prescribed-terms/

In sum, you are looking for details on:

• repayments
• Term of credit (length of loan)
• credit limit
• How much interest they will charge

So for example, in my situation the agreement I'm disputing contains none of these in the small print - it's just an application form.

A form that does contain the items has for example wording like "The Bank will determine the credit limit of the card account...."

Hope this helps - there is plenty of additional information on the internet. However, if you want a definitive answer, you'll have to do the same as me as source a solicitor.

Thank you very much indeed for your explanation and for the link to the newbeginnings website:T. You're a star. What a brilliant resource that website is:j. I wish I'd known about it sooner instead of bothering so many people with daft questions:o