Full and final settlement help thread

DellBoy

Hi everyone,

I have been in a DMP for 8 years. Started with 52K but now down to 38K between 4 creditors, but as only paying £50 a month the plan will be running when im long gone :-) About 18 months ago I started to make some FF settlement offers. Offered 10%, 20% but none of them accepted. Then I made a third offer some of which were beween 40 - 50% and Capital one accepted so that is done done. All the defaults for my debts have fallen off my credit file, and I have been able to get a mortgage again, if only with Precise Mortgages.

Now I want to start the negotiations again. One thing I have never done is to request a CCA. All debts bar 1 with BB have been sold on. My question is, is it worth me asking for CCA when I submit my next offers? As i have been paying the debts for so long I have accepted liability, so would it make a difference requesting a CCA or not?

Many thanks.

Willing2Learn

Hi DellBoy,

If you are going to submit CCA requests to your creditors then, if it were me, I would not make any further F&F offers until they have responded in writing. Once you have a response, you will know whether the applicable accounts are enforceable, and that can determine what you do next. If they cannot provide you with compliant paperwork, then you can choose to either not pay the account or to offer a reduced settlement figure.

fatbelly

DellBoy wrote: »

Now I want to start the negotiations again. One thing I have never done is to request a CCA. All debts bar 1 with BB have been sold on. My question is, is it worth me asking for CCA when I submit my next offers? As i have been paying the debts for so long I have accepted liability, so would it make a difference requesting a CCA or not?

Many thanks.

A s77-79 request under the Consumer Credit Act is not a method of disputing liability. It must be your account for you to exercise that right.

The Act says that if the 'creditor', and that means the current owner of the debt, cannot show you a copy of your application, compliant with the regulations then the debt cannot be enforced in court until they do. They can supply a reconstruction but it has to be accurate.

The original creditor is often not very interested in helping a debt buyer to comply with these requests. After all, what's in it for them?

Definitely worth doing

DellBoy

Thank you Willing2Learn & Fatbelly, the advice you give is invaluable.

Ill be sending off my CCA requests today. The idea was to send off the request along with the (low) offers asking them that if the offer is not acceptable, to then provide the CCA. I was hoping that the end of the financial year may potentially give me some leverage, but wouldn't have time to wait for CCA responses and get my offers in before April 5th.

If my offers are refused and they cannot provide a CCA, therefore unenforceable in court, is the advice at that point to no longer pay the debt?

Thank you again.

DFW_ASAP

DFW_ASAP wrote: »

Hi, I started a DMP last month with SC and showed X amount of surplus and the 1st payment has gone out. I have now called them and updated my I&e and my surplus has reduced meaning I will only be paying between £9-£25 to each creditor pro rata.

My debt is around £50k

I have 10 creditors with most confirming they will default etc.
I could potentially come into some money in the next few months enough to offer 10%-30% F&F on some of them.

QUESTION - Is this too soon? Does my DMP with the low payments need to run for a few months or years before making these offers.

Obviously i want to pay them as low as possible, so will i need to wait until the actual default and sale of debts?

Any advice is much appreciated

PS to pre-empt CCA questions. My debts are all less than 4 years old and most taken online so dont think its relevant to do this at this point.

Hi,

Can anyone advise on the above.

Thanks in advance

StokieBecks

DFW_ASAP wrote: »

Hi,

Can anyone advise on the above.

Thanks in advance

I think it is highly unlikely unfortunately that you will get any of them to settle at 10-30% of the debt especially if up until recently you have been making full payments.

However that's not to say you can't try but don't make any offers until you are sure the funds are available to you

fatbelly

DFW_ASAP wrote: »

Hi, I started a DMP last month with SC and showed X amount of surplus and the 1st payment has gone out. I have now called them and updated my I&e and my surplus has reduced meaning I will only be paying between £9-£25 to each creditor pro rata.

My debt is around £50k

I have 10 creditors with most confirming they will default etc.
I could potentially come into some money in the next few months enough to offer 10%-30% F&F on some of them.

QUESTION - Is this too soon? Does my DMP with the low payments need to run for a few months or years before making these offers.

Obviously i want to pay them as low as possible, so will i need to wait until the actual default and sale of debts?

Any advice is much appreciated

PS to pre-empt CRA questions. My debts are all less than 4 years old and most taken online so dont think its relevant to do this at this point.

I would let the payments run for 6 months.

Weybridge78

A relative of mine who is on token payment plans to several credits has received a letter from Cabot, who bought a debt a few years ago from a credit card provider. They have offered a 70% discount. The balance is over £9,000. I was wondering whether, with this significant discount, there is any room for negotiation? Would it be worth writing a letter back and saying that he can only do 10%?

fatbelly

Weybridge78 wrote: »

A relative of mine who is on token payment plans to several credits has received a letter from Cabot, who bought a debt a few years ago from a credit card provider. They have offered a 70% discount. The balance is over £9,000. I was wondering whether, with this significant discount, there is any room for negotiation? Would it be worth writing a letter back and saying that he can only do 10%?

Yes, it's their opening offer so of course you can negotiate.

But if they're opening at 30% there may be something dodgy about this debt. Has there been a period of 6 years when the debt was not acknowledged in writing or by payment?

If no, then start by doing a cca request and see what comes back.

Weybridge78

Thank you for your quick reply fatbelly.

fatbelly wrote: »

Yes, it's their opening offer so of course you can negotiate.

But if they're opening at 30% there may be something dodgy about this debt. Has there been a period of 6 years when the debt was not acknowledged in writing or by payment?

If no, then start by doing a cca request and see what comes back.

The debt was originally a Clydesdale Bank credit card. It has definitely been acknowledged both in writing and by token payments.

When it was with Clydesdale, a CCA request was made, and Clydesdale did send that back.