Full and final settlement help thread

stonesy

Offered my DCA 100% full and final, on a 4 year old debt. I stipulated I wanted the default marker removing and updated as settled, late markers removed, date of default blanked etc.

Result!

redux

fatbelly wrote: »

BalanceBy50 wrote: »

They have written to me asked me to confirm my source of funds and would need this need to be paid back?

The answers are my brother and yes they will need to be paid back and i have agreed to do this monthly. Should I tell RW this or can anyone suggest a better response?

I have often seen the first question (answer: a third party) but not the second. So not sure where they are going with that. I'd be tempted to say no - it's a gift and, as you know, I have no surplus income.

I wonder if it's because they seem to be obliged now to make sure people aren't borrowing more money to finance settlement offers. Firms seem to be rather against accepting payment by another credit card.

So I would say it's family money being made available to help settle this, and hope to not be directly asked again whether it has to be paid back, but if pushed say the family are helping with part gift part loan but won't be charging any interest.

Debt_suvivor

It’s the attitude of paying off debt with more potential debt - it’s not particularly viewed as a fair outcome really.

Lovetobedebtfree

Thank you for the information on this forum, outcomes seem to depend on people's circumstances.

I have two credit card debts of 10K

I defaulted 18 months ago and started paying back £5 /month and then bought it up to £25 a month each but then I found out about making a settlement so I have reduced my payments back to £5 and have opened up a savings account to pop any windfall or extra money into to that to be able to offer a settlement lump sum. A mortgage advisor suggested I make an offer and then have no unsecured debt for 2 years after that and then I will be in a stronger position to apply for a mortgage even with a "partially satisfied" mark on my credit record.

I also signed up to Credit Club (MSE service) and have a pre-paid Mastercard which I pay £5.95 a month (this improves your credit rating) and L&Q my landlord send my rent payments to the credit records. So I have been really good for just over two years at paying everything on time but I guess I am trying to speed up the process of being more eligible to buy a mortgage.

I am hoping by the end of 2018 I can offer 40% of my debt if my income keeps increasing and some surprise money arrives!

Is this a good way of doing it? People seem to say they won't accept an offer if you look like you can keep paying a decent amount, luckily before I read this today I did reduce my repayments in January to £5/month to each credit card debt at LINK.

2 Credit cards is the only debt I have had (apart from a Plan A Student Loan) and finally I came to a halt with trying to pay them back and took advice from Step Change and Debtors Anonymous to default and start again in June 2015 but I believe the defaults starts 6 months after that?

Both Debts are now with LINK (one was with Moorcroft and has transferred).

Any advice on the above would be great, is saving for a lump sum of 40% realistic for my circumstances and is there anything else I could do differently to help with my credit score in regards to these debts?
(I have looked at the 23 things you can do to improve your credit score on MSE and only about 3 apply to me so I am doing them)

Thank you.

fatbelly

You don't seem to know when your defaults were registered. You should be able to find this out from your MSE credit club data.

Link are known for offering settlement figures. Maybe start the ball rolling when you can offer 30%

System

fatbelly wrote: »

You don't seem to know when your defaults were registered. You should be able to find this out from your MSE credit club data.

Link are known for offering settlement figures. Maybe start the ball rolling when you can offer 30%

Ooh interesting that L*nk are good at F&F's...we have 3 with them totaling nearly 15k....was hoping they would be OK. Awaiting CCA's from them at the moment.

Lovetobedebtfree

I have a note of the DEfault dates but not to hand when I was writing this message.

Good to know I can start the ball rolling, will it be marked on my Credit file/report that I offered a F&F if they don't accept it? Is it possible to negotiate a couple of times without it affecting my Credit file?

January2015

Lovetobedebtfree wrote: »

I have a note of the DEfault dates but not to hand when I was writing this message.

Good to know I can start the ball rolling, will it be marked on my Credit file/report that I offered a F&F if they don't accept it? Is it possible to negotiate a couple of times without it affecting my Credit file?

F&F offers are not recorded on your credit files. Negotiate as many times as you want/need to.

crashingout

I recently negotiated a 70% discount of my link debt, was only paying a pound a month for past three years on DMP but it was relatively easy to do.

System

crashingout wrote: »

I recently negotiated a 70% discount of my link debt, was only paying a pound a month for past three years on DMP but it was relatively easy to do.

Ooh...think we will be playing the long game with them then and keep token payments for a good while yet.