Full and Final Settlement - help/advice needed

October-rev101

Hi All,

Just wanted some advice/experience please on Full and Final Settlement.

I’ve been making £1 token payments to all my creditors since October last year. Some, at the moment, are accepting and a few have issued Default Notices and passed me onto their in-house DCA to whom I am still paying £1 payments.

I received a call today from MBNA who said they would accept a 35% payment of outstanding debt to settle my account. This I can not afford but they went on to say that they would listen to any reasonable offer based on my circumstances (I’m currently receiving benefits: carers allowance and income support).

My questions are:

What would be a reasonable figure to offer? (Start at 15% and work up to 25 %?)

I would also need my other creditors to accept the same – would this be possible.




I was originally saving to go BR but if I can get a reduced offer I may consider asking family if they can help with F&F settlement.

If anyone has any experience or advice/views it would be greatly appreciated.

Falze

No experience or knowledge of this, but someone who does should be along soon.

Good Luck in what ever is the best course for yourself.


Falze.

October-rev101

Thanks Falze

philnicandamy

Probably best to shift to the DFW board instead of here

WRINKLES

You are on disablement benefit , can you afford to settle at all ,if the answer is yes then offer them 10% in your circumstances they are lucky to get one pound a month ,if you decide to try this send your offer recorded delivery say you do not have the money yourself a family member has offered to loan you this amount give a time limit tell them if they do not accept the same offer will go to another creditor

pixiechick_2

October-rev101 wrote: »

I received a call today from MBNA who said they would accept a 35% payment of outstanding debt to settle my account.

Not too knowledgeable on this but
1) get the offer in writing - don't agree to anything over the phone.
2) make sure the offer says Full and Final settlement - not partial settlement.

Someone will probably be able to offer more advice later.

Good Luck.

pixiechick_2

By the way, how old are your debts? Have you had a look at never-in-doubt's unenforceability thread? (not as complicated as it looks!)

October-rev101

***BUMP***

Does anyone else have any help/advice/experience

fatbelly

If you're intending to go bankrupt and this is a safe and good option for you (do your research) then don't get sucked into F&F deals.

Have you done a SoA anywhere and got proper advice?

NorthernLas

From your first post you seem to have a few cards and very little income to pay them off. How many do you have and how many were taken out before 2007?

I would suggest you read the first few pages of MouseAnn's thread

https://forums.moneysavingexpert.com/discussion/2309447

and then either post on the second part of her thread

https://forums.moneysavingexpert.com/discussion/2522471

where Never-in-doubt will pick it up or on his own thread on unenforcebility (first few pages are worth a read ... it is not as bad as it looks). You need advice to decide if uneforceability is a solution for your problem and NiD is the man for the job.

https://forums.moneysavingexpert.com/discussion/2305463

October-rev101

Thanks for all your replies.


fatbelly: Yes I have taken advice and done a SOA. I'm getting help from NDL - although I have'nt yet discussed F&F with them.


NorthernLas: yes I have quite a few cards, 11 in total, and were all taken out before 2007. I will look at the links you have provided.

Once again many thanks for your input.