Full and final settlement help thread

PZ19

I have decided to offer F&F on my relations behalf. One question should I sign the letter, or just type my full name. I am sure I read somewhere not to sign it, although as the debt is not mine, I can’t think why I should NOT sign. Any thoughts?

StokieBecks

PZ19 wrote: »

I have decided to offer F&F on my relations behalf. One question should I sign the letter, or just type my full name. I am sure I read somewhere not to sign it, although as the debt is not mine, I can’t think why I should NOT sign. Any thoughts?

They will usually only deal with the account holder

InDebted2U_2

Willing2Learn wrote: »

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.

I understand why you suggest this, but this isn't the right option for me, because I need a quick, once-and-for-all settlement. I'm just not sure what a realistic amount to offer is.

PZ19

StokieBecks wrote: »

They will usually only deal with the account holder

Sorry StokieBecks only just worked out how to include your reply.. I spoke to an advisor on the national debt line and he suggested better coming from me. They can only say no, need to talk to account holder I guess.

petermog

I am currently negotiating with my creditors and have got Stepchange to help in the process by me providing the funds up front for them to share equally with the remaining creditors.

Some of my creditors had already agreed to just 25% of outstanding debt because when speaking to them I emphasised I was a recovering gambler and I wanted to clear the lump sum I had from my non-obligatory house sale before I was tempted to gamble again out of desperation. I could easily have kept quiet and kept the equity. A few companies weren’t helpful and were insistent on dotting ‘i’s and crossing t’s with form filling etc but some took 25% debit card payment within minutes of hearing my story.

So far I have reduced over £75000 to 36000 using less than 12000 capital and I have a further amount sent to stepchange to hopefully complete the process with the remaining creditors. Fingers crossed.

Good luck with your efforts.

pc007

Hi all,

My wife and I are currently in a DMP with Payplan and it has been slow going as we started in 2007 with a £64k debt with 10 creditors and we now have just under 2yrs left to go with £13500 left. The repayments at beginning were really low as we were both on poor wages but as time has gone on we have got better jobs, kids have grown up so able to offer better repayments.


The current creditors are 3 x Cabot, 4 x Link, 3 x Paragon and 1 x Wescot.

All accounts defaulted over 8years ago and do not appear on our credit records.

I have been reading a lot about F+F settlement and was wondering what is the best course of action. I have already spoken to Cabot and the best they will offer is 25% reduction and they did say to me that I do not have much to bargain with as we only have 21 months left and we are currently paying total of £570 a month back so they will get all the owed money back within 2 years anyway.


My problem is I can get hold of about £5k and if the other creditors take the same stance I would need £10k which I cant do.


What is the best course of action as the end looks so close but still so far away. Thanks.

fatbelly

pc007 wrote: »

I have been reading a lot about F+F settlement and was wondering what is the best course of action. I have already spoken to Cabot and the best they will offer is 25% reduction and they did say to me that I do not have much to bargain with as we only have 21 months left and we are currently paying total of £570 a month back so they will get all the owed money back within 2 years anyway.

That's exactly your problem. If you were more of a hopeless case you would get better deal.

However, if you have cash then it isn't going to get much interest so settling £13500 for 75% or just over £10000 is still worth doing

InDebted2U_2

What counts as legallly binding wording in a F&F letter from a creditor? Does "confirm we will accept £xxxx to clear your account" cover it?

jon0108

Hi,

I have an old Egg loan from 2007 (defaulted but now off my credit file. 4.5k outstanding) I asked for CCA and got a letter back from Cabot saying the debt was unenforceable. I now want to do a full and final offer on it and wondered if the national debt letter template would be appropriate. Also wondered if it is wise to emphasis that the debt is unenforceable in a paragraph at the start of the letter. I have heard of others offering 5% to 10% on these sorts of debts. Do we think this is a good starting point.

I've used this board over the last 10 years and been on a DMP that long. It has been a life saver without which i could not have coped. Just lost my login hence only the one post.

thanks
Jonathan

fatbelly

jon0108 wrote: »

Hi,

I have an old Egg loan from 2007 (defaulted but now off my credit file. 4.5k outstanding) I asked for CCA and got a letter back from Cabot saying the debt was unenforceable. I now want to do a full and final offer on it and wondered if the national debt letter template would be appropriate. Also wondered if it is wise to emphasis that the debt is unenforceable in a paragraph at the start of the letter. I have heard of others offering 5% to 10% on these sorts of debts. Do we think this is a good starting point.

I've used this board over the last 10 years and been on a DMP that long. It has been a life saver without which i could not have coped. Just lost my login hence only the one post.

thanks
Jonathan

Yes to everything you say.

However, is there any point paying them anything? They have admitted they can't enforce this.