We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Full and Final Payments Help!!!

Options
I am trying to sort out O/H's finances. We had been looking at a Trust Deed but a relative has offered us a lump sum to clear debts. It would not clear all the debt so I sent out the National Debtline letter offereing them F&F payment. I did explain in the letter that what we would be able to offer would be more than they would receive through the Trust Deed.

Received 2 replies today. One asking for proof of income, debts and 3 months bank statements. Do I just photocopy these and send them back to the company? Not sure if this is okay I would blank out account numbers.

The second letter from Mint said they did not accept F&F payments but would take the payment offered as a part payment and then he would continue to pay as normal!!! What do we write back to them as we only have this amount to split between all our debts and are trying to pay off as much as poss.

Any advice/help gratefully received. Hope all my ramblings made some sort of sense! Ta
:idea: Had lbm, switched it off too many times. Now am trying to sort my life out :T:T

:T Proud Supporter of Niddy :T
«13

Comments

  • Bump please
    :idea: Had lbm, switched it off too many times. Now am trying to sort my life out :T:T

    :T Proud Supporter of Niddy :T
  • susieanne
    susieanne Posts: 448 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I am surprised you have not had more replys .i am no expert only my experiences of my depts i am on a debt mangement plan ,have been for 12 months and now im starting to offer F&F settlements .
    Im not sure from your post whether your on a debt mangement plan or if you have been making reduced payments to your creditors but i dont think that creditors would except F&F settlements without seeing that you are in finnacial difficulties & been paying reduced payments .They accept F&F when they can see that its would take them years & years for you to repay the debt or if they think there is no way that they will ever get the money back from you .
  • GeorgeUK
    GeorgeUK Posts: 7,737 Forumite
    We had been looking at a Trust Deed but a relative has offered us a lump sum to clear debts.
    You may also want to look at a Debt Arrangement Scheme (DAS) http://www.moneyscotland.gov.uk
    One asking for proof of income, debts and 3 months bank statements. Do I just photocopy these and send them back to the company? Not sure if this is okay I would blank out account numbers.
    If no-one else posts, i'd suggest contacting CCCS or Payplan about this before sending any documentation. As you are in Scotland, a DAS may be more suitable than a DMP as they will be more likely to have interest and charges frozen as well as not being able to take court action against you.
    The second letter from Mint said they did not accept F&F payments but would take the payment offered as a part payment and then he would continue to pay as normal!!! What do we write back to them as we only have this amount to split between all our debts and are trying to pay off as much as poss.
    Not sure i'm allowed to post what i would say to them. A partial settlement is of no use to you. I would not waste time with trrying t oreason with them. If they are unwilling to come to an agreement, you could write stating that you will be making a £1 token payment to them until you have contacted CCCS or Payplan and look into setting up a DAS. They want their money which is fair enough, but if you don't have it you shouldn't be trying to meet these payments.
    After falling off the gambling wagon (twice): £33,600 (24,000+ 9,600) - Original CC Debt: £7,885.91

    Dad Gift 6k ¦ Savings & Inv Tst: £2,500
    Loan 10k: £0 ¦ Dad 5.5k: £2,270 ¦ LTSB: £0 ¦ RBS: £0 ¦ Virgin £0 ¦ Egg £0

    Total Owed: £2,270 (+6k) 11/08/2011
  • scarednshakin
    scarednshakin Posts: 277 Forumite
    edited 7 April 2009 at 9:40AM
    Thanks for the replies. We have not made any payments since December. We have sent out token payments.

    We have contacted Payplan and they were great but they advised that our only option was to enter into a Trust Deed we had spoken to a company who advised us but then we were offered this lump sum from a relative. That was why we sent out the F&F letters as the creditors would get more back this way.

    Did think about sending letter back to Mint with our SOA listing other debts and showing that we can't afford the repayments do you think this would be a good idea?
    :idea: Had lbm, switched it off too many times. Now am trying to sort my life out :T:T

    :T Proud Supporter of Niddy :T
  • susieanne
    susieanne Posts: 448 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    It may be abit early for F&F because you are only 3 months behind creditors may think things could improve for you maybe put the money you have into a savings account for say another 6 months & then try offering F&F again.
  • Thanks Susieanne, just want to sort it out. Have been living with this for a long, long time then had LBM. There is no real way things will improve and thought when we were offered this money it would be the best way to go. Default letters are flying through the door, only thing Payplan can advise is a Trust Deed and when I added it all up the creditors would get more this way than through the TD.
    :idea: Had lbm, switched it off too many times. Now am trying to sort my life out :T:T

    :T Proud Supporter of Niddy :T
  • ALIBOBSY
    ALIBOBSY Posts: 4,527 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    You may well find that original creditors are unwilling to settle and in many cases won't even accept reduced payments, however they will soon pass these debts on. From the original creditors point of view it is more cost effective to sell the debt on and get it written off against their tax than to settle with you. But the debt collection agencies having only paid a small amount for the debt (in some cases as low as 10p in the £1) are much more open to f & f.
    May also be worth doing CCA requests on the debts as if they know the debt is unenforcable they again seem to be more open to offers (better for them to settle now that risk losing in court).

    ali x
    "Overthinking every little thing
    Acknowledge the bell you cant unring"

  • GeorgeUK
    GeorgeUK Posts: 7,737 Forumite
    I'm a little surprised that Payplan didn't mention a DAS. I would suggest calling nationaldebtline if you are unsure if you would be able to take advantage of this. As far as i am aware, this is like a protected DMP as a DAS is not a form of insolvency like a Trust Deed.

    You may be able to make F&F offers later once they see thay can't get any interest out of you.

    Have you reclaimed any bank or creditcard charges?
    After falling off the gambling wagon (twice): £33,600 (24,000+ 9,600) - Original CC Debt: £7,885.91

    Dad Gift 6k ¦ Savings & Inv Tst: £2,500
    Loan 10k: £0 ¦ Dad 5.5k: £2,270 ¦ LTSB: £0 ¦ RBS: £0 ¦ Virgin £0 ¦ Egg £0

    Total Owed: £2,270 (+6k) 11/08/2011
  • No have not reclaimed any charges or asked for CCA's do you think this would be a better way to go?
    :idea: Had lbm, switched it off too many times. Now am trying to sort my life out :T:T

    :T Proud Supporter of Niddy :T
  • GeorgeUK
    GeorgeUK Posts: 7,737 Forumite
    I would definately try reclaiming charges. As part of this, you would need to see the charges you have had over the last 6 years. You could do a subject access request (SAR - cost £10) which will also enable you to request a copy of all other documents incuding the credit agreement. As this request is made under the Data Protection Act, the copy of the credit agreement must be a copy of the original and not a reproduction. This will enable you to see if they have the document and if it has all the required terms and signatures on it. Was the credit taken out before 6th April 2007? If so then if there are any terms not on the agreement, the debt may be unenforcable.
    After falling off the gambling wagon (twice): £33,600 (24,000+ 9,600) - Original CC Debt: £7,885.91

    Dad Gift 6k ¦ Savings & Inv Tst: £2,500
    Loan 10k: £0 ¦ Dad 5.5k: £2,270 ¦ LTSB: £0 ¦ RBS: £0 ¦ Virgin £0 ¦ Egg £0

    Total Owed: £2,270 (+6k) 11/08/2011
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.8K Banking & Borrowing
  • 253K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.8K Work, Benefits & Business
  • 598.6K Mortgages, Homes & Bills
  • 176.8K Life & Family
  • 257.1K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.