Full and Final Settlement

Miss_Poohs

OK - please bear with me, I'm mulling ideas over in my head before we see the debt advisor again, and I just want/need the benefit of other peoples experience/thoughts.

My DH owes somewhere in the region of £80000 to

Northern Rock - £25000 (but due to front loaded interest they say he owes £50000 should the loan have gone to term)
Halifax - £17000
Bank of Scotland (not sure if this should all be one debt) - £7000
Lombard £6000
Marks and Spencer £3000

Thats approx £83000!! :eek:

Due to the DAS he has he's paid off £6000 of this in the last year (and its killing us).

What I'd like to know is if it would be possible (with help from my dad) how much would he have to pay to make a full and final payment feasable?

Also I'm guessing if we were able to go down that route the amout owning to NR would be £25000 and not the £50000 should the loan have run its course?

I'd be very grateful of your input.

maxmycardagain

well it doesnt hurt or cost to ask, but dont hold your breath

So_Sad_Angel

Hi Miss Poohs

Offer the minimum first...that will get rejected but if you start low then the creditor will realise that something is better than nothing.....start from there. Not sure if there is benefit in mentioning the alternative outcome is BR or not.

I managed to get my secured lender to agree that they would take in the region of 40%....thats on a balance of 105K. That would be a 65k write down for them !!! I don`t have the monies unless I can sell the property but was a useful snippit of info to know.

I hope that helps,

Angiexx

Miss_Poohs

Am I correct in saying the FF payment to NR should be based on £25,000 not £50,000

stintond

You have to word the letter carefully , you have to write "without predjudice" or something like that , get some advice on this.
I tried this method without success but of course it is worth a try.

So_Sad_Angel

I`m sure there is a letter on DFW on full & finals.

It may be worth having a look on that board too for an answer to your question Miss Poohs.

Angiex

MercMan

I offered HSBC half of what they were going to BR me for. I told them that if they did make me BR I'd roll all my debts up and they would more than likely get bu**er all and that it was in their interest to accept my offer. HSBC wanted £500 more then my offer and said they would accept the revised amount. Just waiting to get confirmation from the Court that the hearing has been withdrawn. All I can say its wortha try and be prepared to negotiate.

Miss_Poohs

To answer the question there is a templet on here for a F/F letter, theres also a wee pro-rata calculation to work out how much each debtor should get.

The thing is - you're all right, if the only solution DH has left is to go bankrupt they'll get nowt.

Ofcourse I could just walk away and leave him to get on with it - but thats not what either of us want.

Having said thatI could cheerfully throttle him.