Full and final settlement help thread

kburn2508

poppasmurf_2 said:

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

Am I right in saying the defaults drop off 6 years from the date they defaulted? Does the F&F info drop off with them also, or does that hang around 6 years after you've settled?

fatbelly

kburn2508 said:

poppasmurf_2 said:

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

Am I right in saying the defaults drop off 6 years from the date they defaulted? Does the F&F info drop off with them also, or does that hang around 6 years after you've settled?

The whole entry drops off 6 years after the default.

The settlement deal usually results in a partially settled mark if the lender is still reporting. That mark stays until the entry drops off.

In the event of a settlement deal on a non-defaulted debt, the entry drops off 6 years after the settlement date (but you're unlikely to get a settlement on a non-defaulted debt)

poppasmurf_2

(but you're unlikely to get a settlement on a non-defaulted debt)

Thats true

kburn2508

poppasmurf_2 said:

(but you're unlikely to get a settlement on a non-defaulted debt)

Thats true

Thanks. Until a few months ago I had accepted they would be there for 6 years anyway, so that part doesn't bother me. Just checking that after the 6 years from when they defaulted all will be gone from my file. 

poppasmurf_2

kburn2508 said:

poppasmurf_2 said:

(but you're unlikely to get a settlement on a non-defaulted debt)

Thats true

Thanks. Until a few months ago I had accepted they would be there for 6 years anyway, so that part doesn't bother me. Just checking that after the 6 years from when they defaulted all will be gone from my file. 

YES defaults only last for 6 years, from the first date added, looks bad on your report every month a red dot, once expired/removed they cannot be added again even if the debt is with a DCA. Not sure if it will increase your credit score. For me the defaulted accounts have completely disappeared from my credit report. Had only one default left which I just paid off with a F&FS waiting to see what effect that has, hopefully positive plus a removal before the 6 year deadline, probably not. Having trouble getting F&FS, I have 5 accounts (its not a huge debt on the 5, £7K) of which only one of which appears on my credit report... So I will be only dealing with the credit report one. Will update on how I get on and what effect it has on the credit report, may take a month for them to update my credit report. There is light at the end of this journey

ruki_2

Hi,
Could anyone point me to a F&F settlement letter? I have had a search on this thread but have not been able to find one.

My situation, I sent CCA Request letters to my creditors and so far they have not been able to provide the required documentation. Defaults are now 3 years old and have been pass to debt recovery agencies and sold on a few times so I have been advised not to pay or offer any settlements as they will be unable to pursue the debt. However I now work in the Financial Sector and recently I had to job applications rejected on the grounds of the credit score and the fact that defaults were showing on it. I have raised an small amount of money and decided to use it to offer it so that at least defaults show as 'partially settled' and hope that my credit score will improve.

I've been told that these kind of letters need to be crafted very carefully, I found a couple of template letters online but  was wondering if for instance given my circumstances (creditors unable to enforce the debt), I should remove wording such as 'the money which I owe in full' as it could be construed as accepting a debt they have not been able to properly document. 
I would appreciate if someone could share any F&F example letters or resources around how to write them.

ruki_2

One more question, if anybody can help me. 
I can see on my report that it shows a ´default´ in the original account and ALSO a default in the debt recovery account. For instance Default on a Barclaycard and Default on Intrum for the same account... so essentially it shows 2 defaults marks for every defaulted account, is this correct? should I ask the credit agency to correct it?

fatbelly

The dates should be the same on both entries and only one company should be currently reporting so yes query it.

Wongahangover

I've offered a final settlement to AIC who are holding an old defaulted debt from 2015, last with cabot (who they are acting on) and originally with Vanquis. I offered 20% full and final settlement using the National Debt template. They've come back and said Cabot have offered 36% which I am happy to accept (I am hoping for 40 - 50% per creditor across the 10 different defaulted debts i have). 
I confirmed that I would accept the offer if I could get written confirmation that this would be a Full and Final settlement and that I cannot be pursued for the remainder of the debt and that it will be marked as such on my credit file. 
I received the below back on email - which looks good to me but I've read a few negative stories with AIC so I want to be extra cautious. Would you say the below is all the written confirmation I need?

Please see this email as confirmation that the settlement amount available to yourself is £XX.

Upon payment application, your account will be closed and sent to the relevant department for the remaining balance to be shelved (meaning you can no longer be pursued for the remaining debt) and your credit file updated accordingly.

A letter will also be sent to the address we hold on file to confirm your payment and account closure.

fatbelly

I think that's Ok. Well done.