Negotiating a settlement!!

griffam

Hi there

First can I say a very big thank you for the fantastic way you all support each other. For two years I have lurked and because we have been managing the excessive debts run up renovating our dream cottage I have just watched and taken it all in. We are still coping and were expecting a good year. I am expecting a substantial pay rise and my bonus is due in end of Marcht. Additionally my DH was in a bad crash at Christmas ..... not his fault and his brothers £115K porsche written off on the motorway. DH has broken bones and hospital admission. All ok now but solicitor dealing with compo claim. All this in itself was bonus and having lost the two houses we owned 10 years ago and defaulting on 30K of CC and personal loans ( all paid off in five by sheer determination and self sacrifice) due to stupidity I was panicking a little about the loans own in respect of the house. I have not let it get to me because even with the drop in property prices we are still 80K equity up on the deal with our house.

What has happened now is a distant relative of DH has left us a third of his property....about 35-45K and I want to get the best deal when I clear my unsecured debts.How do I go about making an offer and how low do I go with offers.

Sorry to ask but I have evey assurance that one of you fab people will have the answer.

GeorgeUK

I think it depends who the debt is with.
If with a DCA 25%-50% may be accepted while an original creditor may accept 50%-75%.

When making the offer, make sure it is in writing and that you state "full and final" settlement. If they offer a partial settlement this is of no use to you. They'll jsut come back for the rest of the balance later. Your credit file may state partial settlement - this is pretty standard, but you want their letter to be clear that you will not have any further liability for the debt.

There is a good letter on the nationaldebtline site. It might also be an option to state that the funds are available for a limitedtime and you are awaiting responses from your other creditors for a similar offer. If they get the idea that they may not get the money ifthey don's accept than so much the better.

Glad to hear things are looking up for you and hubby. Hope he makes a full recovery soon.

griffam

George Thank you

I adore the bones of my DH but he does not have the sort of brain that works its way around things and I know I really need to take charge of this situation now or else all the reasons why I fell for him will take over ( he adores me and the kids and cannot resist making grand but unnecessary gestures that often cost far too much.....this makes me feel sooooo good about my self that I am too weak to stop him) and our chance to sort things out will run like sand through our hand!!!! ENOUGH of the psychology behind our problems!!!

You epitomise the reason why this board has been such an inspiration to me. The titbits and advice I have gleaned have been great and I really appreciate your suggestions George.

Gracias :dance::dance::dance::dance::dance: