final settlement thing

grimsby1

Hi
I have read on here about an offer you can make to your creditors to pay a prt of your debt and if they accept they will write off the remainder , can you tell me how this works , can you do it for 1 debt at a time or must you do all at the same time and also what percentage is a good offer
grim

Tixy

This usually only happens when you have defaulted on your payments and are paying reduced payments on the debt. To have a chance of a decent discount you need the debt to have been sold on to a debt collector.

If you are currently up to date with payments and have no defaulted then you are unlikely to get a reduced full & final settlement. And its not worth intentionally defaulting and ruining your credit history for.

Have you defaulted on your debts?

grimsby1

Hi some of them are with a company called robinson something or other and I am with CCS ]
Gr

Tixy

CCCS?

In that case you can offer to pay off one debt at a time if you make it clear that the money you are intending to use is not your money but money a relative has agreed to use to pay off one of your debts in full.
If its your money then you should split in between all your creditors equally.

CCCS won't make individual offers for you, you;ll need to write to the creditor yourself - see the factsheet and template letter on the national debtline website.

You could try an offer of around 30% as a starting point but its a case of negotiating the best deal you can get.
The longer it will take for you to pay off your debts via your DMP the more likely they are to accept a F&F offer.

Edit http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=24_full_and_final_settlement_offers