Full and final settlement help thread

PZ19

Thanks fat belly, don’t really want to go that route..ideally would rather get them settled somehow if need be obviously not for the full 19k. They had offer to settle 7k for £1500 last year, which they couldn’t get together at time, they now asking for 4K. To be honest they paying such a minimal sum each month if there’s no suitable settlement figure then they can keep paying that. Going to ask for CCA first I think see what comes back

InDebted2U_2

I had an F&F offer and made a counter offer. Creditor has come back with another counter offer, halfway between the two. Reading some previous posts, I guess I probably made a mistake in offering my maximum amount straight off, but it's done now. What are the odds that they will accept my offer if I dig my toes in? I really need this to be settled asap as big changes are afoot.

PMarie1981

Hi I have been sent an email from one of my creditors -
Account Name: MBNA Limited

Current Balance: £1130.76

!

Pay £904.61 to clear your balance

Please note this offer will expire on 13/08/2019

Visit our website to take advantage of this offer.

As this is through email, should I write to them with a different offer and ask them to close the account and update my credit report?

juggle5

Hi, first post on here.
I've been lurking at looking at all your helpful advice.
I'm hoping someone will have been in a similar position to me.
Me and my hsuband entered a joint dmp two years ago.
My husband is disabled and has been unable to work for the last three years.
We have recently lost a relative and have inherited some money.
We would be able to clear the debts in full but I we sensibly need to keep some aside as my husband is unlikey to earn a wage again.
We have 33k between us through stepchange.
All but £200 is now owned by PRA Group.
(it was originally MBNA, Barclaycard and Natwest)
I would like to settle for as low as possible. (The debt is all enforcable, and all less than 10 years old)
I've got a few questions
1. Are we too early in the dmp for them to accept a low offer? (only 2 years in)
2. Our current payments are so low that our cleared date would be 2040+, am I right in thinking this will help our case?
3. If we don't get offered any discounts is it worth trying again?
Thanks

Willing2Learn

PMarie1981 wrote: »

Hi I have been sent an email from one of my creditors -
Account Name: MBNA Limited

Current Balance: £1130.76

!

Pay £904.61 to clear your balance

Please note this offer will expire on 13/08/2019

Visit our website to take advantage of this offer.

As this is through email, should I write to them with a different offer and ask them to close the account and update my credit report?

Use the wording in the linked National Debtline letter template below:

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

Willing2Learn

juggle5 wrote: »

1. Are we too early in the dmp for them to accept a low offer? (only 2 years in)
2. Our current payments are so low that our cleared date would be 2040+, am I right in thinking this will help our case?
3. If we don't get offered any discounts is it worth trying again?

Hi juggle5 and welcome to the forum

• I don't think it is too early to be eligible for a nice low offer as PRA are likely to have purchased the accounts for a nominal amount.
• Since you are currently paying nice and low instalments then this might encourage a lower settlement figure.
• If it were me, I would submit CCA requests for each eligible account, to check whether PRA have compliant paperwork.
• DCAs will sometimes go for lower settlement figures toward the end of the financial year, as they like to clear their books. So February is quite a good time to be making offers.

juggle5

Willing2Learn wrote: »

Hi juggle5 and welcome to the forum

• I don't think it is too early to be eligible for a nice low offer as PRA are likely to have purchased the accounts for a nominal amount.
• Since you are currently paying nice and low instalments then this might encourage a lower settlement figure.
• If it were me, I would submit CCA requests for each eligible account, to check whether PRA have compliant paperwork.
• DCAs will sometimes go for lower settlement figures toward the end of the financial year, as they like to clear their books. So February is quite a good time to be making offers.

Thanks for the advice. I wasn't sure if they'd hang on to us a bit longer.
Thanks for the tip about February.

InDebted2U_2

What is a reasonable % offer to make as F&F on a £3K debt? Company is Paragon, if that is relevant. DMP has been running for many years and has been with them for about 6 years.

fatbelly

InDebted2U wrote: »

What is a reasonable % offer to make as F&F on a £3K debt? Company is Paragon, if that is relevant. DMP has been running for many years and has been with them for about 6 years.

I'd start at 25% but be prepared for them to negotiate upwards from that.

Willing2Learn

InDebted2U wrote: »

What is a reasonable % offer to make as F&F on a £3K debt? Company is Paragon, if that is relevant. DMP has been running for many years and has been with them for about 6 years.

Since the debt is so old, I would definitely recommend you submit a CCA request for the account, to confirm that your creditor has compliant paperwork. If they cannot provide you with the correct paperwork, then the account would become unenforceable. You could either use this as leverage to get a lower settlement figure, or you could withhold payment completely due to the account being unenforceable.