Creditor Chasing Full & Final Settlement

onetwoonetwo

Hi, I have just got off the phone to one of my creditors (lowell finance ltd). They had previously accepted our full and final settlement offer under the conditions that we pay by card before the end of last week. After getting some advice from the forums on here we decided it would be best to get the offer in writing by post (as opposed to e-mail which was originally arranged) from them and to pay by cheque. They have since called us back to say they want to push it through by the end of the financial year, meaning we need to pay either today or tomorrow by cash transfer and they will e-mail us the letter we need to proove we have settled the debt and it is satisfied. The guy on the phone was very isistent about pushing it trough before end of financial year but I can't help thinking we have the upper hand? What would you suggest? Is this method of bank transfer suitably safe and will the email be enough if in 6 months time they come back to us saying we haven't settled it?? Thanks in advance.

onetwoonetwo x

RAS

hi

you definately have the upper hand.

What sort of debt is this? Have you done a CCa request, if that is appropriate?

rog2

Please don't fall for their 'pressure' tactics. It really makes no difference whatsoever whether you 'pay by the end of the financial year or not' - this is just another Lowell 'tactic' to get you to part with your money.

Do NOT pay them one penny until they have confirmed in writing that the payment will be accepted in "Full and Final Settlement" of the alleged debt.

Accept no other wording.

onetwoonetwo

ok, we'll hold out. It's so tempting to rush it through to get it over and done with but so far everyone we've spoken to has said the same. Thanks for your help.
onetwoonetwo

fatbelly

There's absolutely no reason why they can't compose a decent letter if they are so desperate to do a deal.

How long is that going to take them?

rog2

fatbelly wrote: »

There's absolutely no reason why they can't compose a decent letter if they are so desperate to do a deal.

Absolutely - they probably already have several 'template letters' on their computer and only need to fill in the details.

1212 - It IS important that you don't pay them until you receive confirmation that the amount will be accepted in Full and Final Settlement. Lowell are well known for using every trick in the book to get debtors to make payments and, unless you have the written confirmation, it is extremely likely that they will chase you, maybe after as long as two years, for the 'balance' of the debt.

janetag

I am having the same problem, only with citibank credit card. I made a full and final settlement offer to them in writing, which they have verbally accepted. They told me they had posted a letter on 30th March 2009 accepting my offer. I am still waiting for the letter. I have telephoned them 4 times to ask where the letter is, the latest today's telephone call, the account manager is telling me that I will only recieve a letter after I have paid them the money preferably by direct debit card. I have sought advice from the Citizens Advice Bureau debt counsellors who tell me not to pay the money until I recieve confirmation in writing. I am now going to write a letter to Citibank asking them to send confirmation, otherwise
no money will be paid.

rog2

janetag wrote: »

today's telephone call, the account manager is telling me that I will only recieve a letter after I have paid them the money preferably by direct debit card.

CAB have advised you well - do NOT pay them anything until you have received written confirmation that the payment will be accepted in Full and Final Settlement.
Even then - do not pay by direct debit as this 'gives' them access to your account - they have not been very forthright with you so far, so what's to stop then from demanding more than the agreed figure, or using this direct debit to 'demand' additional money from your account in the future?
Pay by transfer or cheque, after you've received their letter.

RAS

Hi

never use a direct debit ofr a debit card to pay a DCa as some just help themseleves to more later without your permission.