How does "partially satisfied" affect my credit score in long run

Marru

Hello,

I have had one of my full and final settlement offers accepted but they won't mark my debt fully satisfied and instead will mark it partially satisfied. How will this affect my credit rating in the long run. Will it eventually leave my credit file or will it sit there for the eternity?

Thank you!

Rhian82

I think it will be there for six years after the settlement.

DarkConvict

It will sit there for 6 years, if it was on a default aswell then it will last as long as the default lasts which is 6 years from the date the default was placed, not the day marked partially settled.

Each creditor scores you differently, so its hard to say what the affect it is, best credit options like 0% credit is only available to those with good records. Some people say a settled default is almost no better than an unsettled default, and that really the best way is to have none at all.

immoral_angeluk

If it's partially settled it also means that debt collections agencies etc will be able to chase you for the remainder in the future, up to 6 years after last contact/payment.

DarkConvict

Not necessarily it depends on the terms of the settlement offer, you can have a settlement offer that is considered to be partial but final, and so long as the terms include neither the original creditor or 3rd party will pursue for the remainder your okay, it is just that the credit file will be marked as partially settled not settled.

Do keep the settlement letters for at least 6 years though.

Marru

Thank you so much, this is very helpful. I do have the agreement saying that the debt can't be chased after my payment. 3 F&F down, 3 to go... and yes 4 of them are defaulted.

fermi

immoral_angeluk wrote: »

If it's partially settled it also means that debt collections agencies etc will be able to chase you for the remainder in the future, up to 6 years after last contact/payment.

If you are referring to what is marked on your credit files, then that is completely untrue.

The ICO states that marking CRFs to say "partially settled/satisfied" is just fine.

However, you should have it in writing that the actual settlement ends your liability to pay.

People constantly confuse what is allowed on credit files and what a settlement letter should say regarding liability.

immoral_angeluk

fermi wrote: »

If you are referring to what is marked on your credit files, then that is completely untrue.

The ICO states that marking CRFs to say "partially settled/satisfied" is just fine.

However, you should have it in writing that the actual settlement ends your liability to pay.

People constantly confuse what is allowed on credit files and what a settlement letter should say regarding liability.

True, to be fair I wasn't considering if the OP had a letter saying it was settled, I should've added about the letter about it being settled but I was posting in a rush :rotfl:

fermi

immoral_angeluk wrote: »

True, to be fair I wasn't considering if the OP had a letter saying it was settled, I should've added about the letter about it being settled but I was posting in a rush :rotfl:

Fair enough.

I really wish their was room to do some stickies etc on this and other common stuff. It is asked so so often. But the whole front page would be full of them if we did.

immoral_angeluk

fermi wrote: »

Fair enough.

I really wish their was room to do some stickies etc on this and other common stuff. It is asked so so often. But the whole front page would be full of them if we did.

That's the trouble, everything is so interlinked it would be impossible to cover it all without missing something out.. :eek:

fermi

immoral_angeluk wrote: »

That's the trouble, everything is so interlinked it would be impossible to cover it all without missing something out.. :eek:

Maybe just a DFW FAQ thread then?

Wouldn't cover every aspect of everything, but could cover the questions that are asked day after day after day?

Q. How should my credit file be marked in a F&F?

Q. How long does a defaulted account stay on my credit file?

etc.......