Full and final settlement help thread

fermi

pgibsonuk wrote: »

Hi,

I have recently noticed that an old Halifax personal loan account, that was bought by Cabot has fallen off my credit file. I defaulted after running into difficulties on the £8k loan in March 2006, and the 6 year limit has just passed and this is no longer showing on my credit file either under Halifax or Cabot.

I'll move this and your replies into a new thread.

Click for new thread ---> https://forums.moneysavingexpert.com/discussion/4067011

debtfree_bride

Morning

I have also posted this on the main DFW board but thought this may be a better, more specific thread. If anyone wishes to merge / delete one of these I understand (still a newbie and getting used to board ettiquette)!

Ok so in my quest to banish my debt I wrote to Iqor to offer F&F for my lloyds tsb overdraft (5 years old) of £1278. I offered £382 they came back with £639 (50%) and said I have to pay within 14 days. I have paid nothing to Lloyds or a DCA for this in about 4 years.

So, the thing is, I can afford the £382, and can probably boost it up to £500 at the end of the month. Should I counter offer with £500 for the end of the month (over the 14 days)

They state in the letter that the full amount with be payable if I dont pay in 14 days and as a result the will want my income / outgoings etc.

I would just like some advice on what to do

MoneyPleaseHelp

Morning All :-)

I am after a bit of advice. I have been on a DMP with CCCS for 3 years so far and have just over 2 years left. My debts are


CAHOOT
£1,235.64
MBNA EUROPE BANK...
£242.75
METROPOLIT COLLE...
£3,257.93
NRAM
£24,325.04

Total Debt left
£29,061.36

My sister has just sold her house and said she could lend me £15000 if it would clear my debt and i could pay her back monthly.

I spoke to CCCS and they say they have a higher success rate with over 60% paid on one go.

Is it worth seeing if they would accept £15000
CCCS worked out the figures i should offer each one, is it best to call, or post them a letter ?

Many Thanks in advance for any help.

fatbelly

MoneyPleaseHelp wrote: »

Morning All :-)

I am after a bit of advice. I have been on a DMP with CCCS for 3 years so far and have just over 2 years left. My debts are


CAHOOT
£1,235.64
MBNA EUROPE BANK...
£242.75
METROPOLIT COLLE...
£3,257.93
NRAM
£24,325.04

Total Debt left
£29,061.36

My sister has just sold her house and said she could lend me £15000 if it would clear my debt and i could pay her back monthly.

I spoke to CCCS and they say they have a higher success rate with over 60% paid on one go.

Is it worth seeing if they would accept £15000
CCCS worked out the figures i should offer each one, is it best to call, or post them a letter ?

Many Thanks in advance for any help.

Are CCCS going to do this for you or have they just given you some numbers?

I think 50% settlement is quite possible. But some may accept lower, and I wouldn't start where you expect to finish, if you know what I mean.

You may not be as attractive to them as some others because, as things stand, the creditors will be paid in full within 2 years. But it's worth a try.

I'd say offer 30% and follow the usual advice (offer in writing, don't pay until confirmed in writing and unambiguous) and see what happens.

MoneyPleaseHelp

CCCS said they would contact them or i could.

I was thinking maybe best if i do, i never thought about seeing if they would accept less. I will try 30% and see what they come back with

Many Thanks for your quick reply

fatnek

got CITIBANK credit card debt of £3400 to agree to settle on 30%. buzzing.!!! was a phone call and they said they will put in writing and i got 6 weeks to pay. couldnt believe it! gunna try with all my other debts as i get enough money to settle. yes. this is magic! can finally see the light at the end of the extremely long dark wet boring and depressing tunnel (and it's not a f*cking Train!!)

MightyRich

I've not been in a position to pay off my American Express for the last 2+ years, all I could do was ignore their incessant phone calls and letters, plus those of the debt collectors.....
I actually spoke with them about 2 weeks ago and said that until they reduce my £10,000 owed by 85% I'll carry on ignoring them.....
Today I've received a settlement offer for £1,500-00 :j:j:j
Tomorrow I'll be paying up :-) phew, I've just cleared 10k of debt!!!!!

moneyangel22

KeepFighting wrote: »

Thought I would keep you posted have succesfully got all of my creditors excecpt Mint Credit Cards to accept Full and Final Settlements of between 40 and 50% of the outstanding. As for Mint they asked for 90% so I am going to let them wait.
But after my experience I would say do not get dispondent and certainly give it a go but remeber do not give them all oyur funds immeadiatley to them it is all a negotiation and they will usually accept less than their original proposal they are out for all they can get so keep some back.

Well done! thats great news!

Can you tell us who the creditors were that settled for these amounts please?

m4rkd4vies

Hi There

Ive been reading through all of the posts and I am very grateful for the experiences people have shared. I was wondering if someone could give me some advice with regards to my £16000 worth of debt.

As I have said I owe the above amount across 10 creditors (largest £8500 HSBC, Lowest £187 HFC, majority payday loans). I am currently on a debt management plan with Payplan who have been very helpful so far. I am paying £300 a month split pro rata accross all creditors.

I have recently come into some money and could possibly raise between £6000-£8000 and I have notified Payplan of this and they are in the process of negotiating settlement offers with my creditors. They did say however, that as the lowest amount I can raise (£6000) is only around 40% of the total debt they thought it unlikely that the creditors would settle for this amount.

My questions if anyone can help are;

Should I allow Payplan to carry on with the negotiations and see what they come back with?
or
should I try and settle the debts myself using the template letters previously discussed?

What can I realistically expect to settle for?

Since being on the debt management plan with payplan I haven't missed any payments and all creditors have appeared to freeze interest and charges. ( Apart from HSBC as this is a managed loan )

Any help/advice would be much appreciated.

Thanks in advance.

sunnydaysahead_2

Hi,
After reading the posts regarding full and final settlement. I thought I would share my recent experience. My partner and I had approx 64k of credit and loan debts :mad: We started on a DMP with Payplan 5 years ago. We managed to keep up with all monthly payments etc but the pressure was horrible. The situation was really affecting my health and well being. A couple of family members decided to try and help and get together a lump sum so we could offer settlement to our creditors. Payplan was contacted and we were dealing with the settlement team. Now the stress really began. We had at this point 54k of debt outstanding and we have now managed to settle all our debts for 26k. So 28k was wiped from our debt. We now have to start repaying family but the pressure has gone. I will advice anyone to contact creditors yourself and offer full and final settlements figures. Ask for any accepted settlement offers to be put in writing you usually then have around 21 days to pay. Explain your situation and tell them you have an amount to pay all your creditors and if one will not accept then tell them you will be continuing on your DMP. We found this approach worked in our favour. We contacted our creditors and then asked Payplan to call and confirm any offers that were accepted. I hope this may give some of you hope to go ahead. It is a very stressfull situation but it will be worth it.