Reduced Full & Final Settlement

jedisskippy

Hi All,

Hoping someone can help me on my first visit to this site. I have a credit card with a £2000 balance. I have a lump sum coming to me off about £1500-1600 next week.

My question is would there be any siuation where my credit card company would possibly accept a reduced amount for settling a balance in full? My thinking was to be honest, if I said to them I was thinking of going to a Debt Management plan as couldn't afford the payments any longer but if they were able to offer a reduced amount to settle the account in full I would have a family member who pay off for me.

My logic was that instead of possibly having months of a potentially small amount they might accept reduced amount to settle in full instead of having to deal with debt management company.

Hope someone can help or had experience of this?

P.S. - I wouldn't consider going into arrears as wouldn't want to affect my credit rating.

cifpower

They would only accept a lower figure than your balance if you have defaulted on your credit agreement and they feel they may not get back the full amount. This will also trash your credit file for 6 years.