Full and final settlement advice

geeka

hi all,

just wanting some advice about offering a full and final settlement (if there are any other links let me know!).
in a nutshell i starter with a 24k debt, been paying it via cccs and paid off 10k. i still owe 14k but my mum has offered to lend me 4.2k (roughly 30% of the balance left over). i owe money to halifax, barclaycard and mbma. most of the money is owed to halifax and that is with a 3rd party now. do you think they might settle with this final offer? im just wondering what the best option is, should i speak to cccs directly or my creditors?

thanks

Tixy

Usually advised to contact your creditors directly - there is a factsheet and template letters on the national debtline website which should help you.
If your debts are with external debt collectors then they may accept offers around 30%, although you may need to do quite a bit of hard bargaining.

geeka

im just about to offer 21% to start with. can go upto 32% lets see what happens!

bottleofred

Hi Geeka,

If you expain the money has come from a relative they may look at it more favourably. You are right to start at a low amount and see how it goes.

Good luck

geeka

Its actually coming from my mum, i can go upto 30%. ive put in the letter my mortgage interest rate is going up so my payments will drop (it is going up but only 40 quid!). ive paid 42% so far back and ive not missed a payment. fingers crossed. ill keep you informed. im dealing with barclaycard who ive heard can be so and so's!