Full and final settlement help thread

runforlife

tayajade said:

I’ll keep going with counter offers in 5% increments and fingers crossed we will get somewhere soon. I just can’t afford to pay more than 50% so hoping that they don’t refuse that if I end up there 🤞

I find that waiting a few months between offers helps too

zenshi

I’m Finding it frustrating with Link and Cabot. Defaults already dropped off file. Been paying £5 a month since default with nothing since Covid and still they won’t budge under 70% which is undoable for me. You would think a lump sum would be more acceptable than nothing......

Debtfreewannabe2020

Add PRA and Intrum to the list of creditors that are difficult to deal with in terms of F&F.

Ive managed to successfully F&F 5 accounts within the last 6 months with Lowell and RBS, all for under 45% of their totals saving about £10000. Two years ago i had £43000 or more in debt, now I’ve around £16000 and i have saved enough to pay 50% of that total. I’m very lucky in that my financial situation has improved while on a DMP that i could put money aside to F&F, two years ago i thought my house was going to be repossessed so it feels so good to finally start seeing some light at the end of the tunnel. 

Intrum and PRA are now my only Creditors and i want rid. 

I’ve paying Intrum & PRA minimal or no payments for 4 months, offered both 25% of the balances and PRA have said they want 100%. Intrum said they wanted 80%. So i sent CCA requests two months ago and neither PRA or Intrum have fully satisfied the requests, im now paying nothing atm. 

At what point would they normally accept the accounts are now unenforceable, unlikely to change and drop their offers? Or in PRAs case even negotiate at all!


Even if they turn out completely unenforceable which i would doubt as some are only 5 years old, i would rather settle them and be gone with the emails, letters, phone calls once and for all. 

welshspendthrift

PRA and Intrum are 2 companies that Halifax and Creation have recently sold my debt too! I have asked PRA for CCA and they have put account on hold till that is available. Intrum have not yet contacted me , I assume that I wait to hear from them? It’s only about 3 weeks since creation sold it on. I will of course be asking for CCA first though when they do eventually contact me. I’m sad that they will be difficult to deal with in the future 🥲

poppasmurf_2

welshspendthrift said:

Hi I am going to receive back pay at end of this month for just under £2000. 2 of my credit cards have balances of £1700 and £1200. They are not defaulted but I have an arrangement to pay a lower amount than minimum and 0% interest . Could I offer F & F settlements or as they are not defaulted is this likely to be unsuccessful? These are a small proportion of my debts but would be good mentally to get rid of 2 debts off the list. Thanks in advance for any advice. 

Never tell a creditor what you have to pay off a debt, use their website for the debt and use the PARTIAL Settlement offer option for the Full and Final Settlement, use the webform email, offer anything between 30% -75% of the amount owed they usually accept 30% I would offer 25%, when asked the money is from a relative not your own and see what there counter offer is. Good Luck

welshspendthrift

@poppasmurf_2
Thank you for your helpful advice, I wasn’t going to tell them how much I have, I did wonder if I should tell them it’s mine so thank you I will do what you suggest Thanks again 

kburn2508

Hi all,

Looking for some advice and to check I'm on the right track after doing some research on F&F offers.
I've recently come into some money via my parents and looking to start negotiations with creditors. My current situation is as follows:

5 Accounts - all defaulted in 2018/2019.
£23,700 approx total balance.
Been with StepChange on a DMP since Jan 2019, haven't missed a payment.
Currently pay £421 per month.
My current debt free date is Nov 2025.

Baby due in 5 weeks so keen to get rid of this, however willing to play the long game if it means I don't have to pay out the full amount. 

At present the debts are with the following:
PRA – £8241 (formerly MBNA CC)
PRA – £6701 (formerly Barclaycard CC)
PRA – £1332 (formerly BoS Loan)
Credit Security (Link Financial own debt) – £6825 (formerly BoS CC)
Wescot – £617 (formerly PayPal)

Some of the debts have shifted around a bit during the time I have had them.

From my research my plan looks like this:

1. Contact each company and ask them for a CCA in the first instance. I have no issue with doing this over the phone in the first instance as I won't be pressured or become flustered with what they have to say. I don't mind awkward conversations with these people in the slightest. Plan was to record all conversations and follow up with letters/e-mails for written proof.

2. If there is no CCA then stop paying the debts and get on with my life. I had thought initially about offering a 5% gesture amount, but I've been told that if the debts are non enforceable then there will be no impact on my credit score etc down the line? My partner and I would like to buy a house together in our name when the defaults shift from my record in 2025 so keen to keep it as clean as possible. 

3. If there is a CCA in place, then start negotiations on F&F, stating a family member has offered to clear the debt with a one off payment due to the fact we have a child on the way and I have been on furlough for over a year/not sure when I'll be back.

Aware that they might not be keen to settle as they currently get a payment on time and will be completed in a few years, however my counter plan would be to drop the payments way down and begin the long game, while saving the money I'd usually spend each month from my DMP. If I decide to drop these payments down, do I just organise this myself with the companies and part ways with StepChange. I have no issues with managing these myself, just unsure of the process.

I think that's everything so far! Any advice/comments would be appreciated.

Thanks in advance!

Debtfreewannabe2020

You are in the same position as me with PRA with a steady amount having been paid each month, because of this they wont negotiate, not even 1% discount. Their offers are obviously algorithm generated so the longer you’re paying a minimal amount or nothing they should begin to negotiate.... Im a few months in with this, still no CCA produced by them and no money from me! Waiting game.....

Debtfreewannabe2020

welshspendthrift said:

PRA and Intrum are 2 companies that Halifax and Creation have recently sold my debt too! I have asked PRA for CCA and they have put account on hold till that is available. Intrum have not yet contacted me , I assume that I wait to hear from them? It’s only about 3 weeks since creation sold it on. I will of course be asking for CCA first though when they do eventually contact me. I’m sad that they will be difficult to deal with in the future 🥲

Difficult for F&Fs so far in my experience but other than that they have been ok. They haven’t really hassled me since buying the debt from the original  creditor and have accepted whatever payment plan I’ve suggested, as long as it looks reasonable. 

poppasmurf_2

kburn2508 

The defaults will last SIX years anyway, and any F&FS will also be on record for SIX years. 
Plus these are the THREE OF THE WORST to deal with. If you do offer, offer between 30% - 75% of the full amount, try your luck with 10% - 25% to see what they say,  they are more likely to accept over 30%...
You may have a better deal with your DMP. 
If you get lucky and they all accept 30% offers that debt of 23K? the F&FS takes it down to £7K.
Good luck, you do sound like you know a lot already.
Theres a similar story to yours on debtcamel link below outlines what they would do.
debtcamel.co.uk/settlements-old-debts-cca/

kburn2508