Frederickson International settlement

LDJ2009

Hi, my Brother has received a letter from this debt collection company for a Capital One debt of £820 which was somehow forgotten about after he split with his partner last October.

He acknowledges he owes the money but when he spoke to them on the phone, they were demanding repayment within 7 days or they will take him to court which he can't afford to pay

After telling them this, he was offered a settlement figure of £700 and was given 30 days to find this. The other option was repayments over 3 months which he again told them he can't afford, then was given 6 months but this is still a stretch as he is paying child support plus helping with the rent on his Ex's house plus his own rent.

I can lend him £400 to offer as a full and final settlement but can't stretch to more than that without leaving myself short. Is it worth going to Frederickson's with this offer ?

He's also received nothing from Capital One to say this had been passed over to Frederickson's

Thanks for your help

jamespounder1

Hi

I am currently dealing with Fredrickson International, just offer what you can afford. Deep down they know thats all they will get. Even if they take you to court, the court will only make you pay what you can afford and Fredrickson knows that.

Stick to your guns, they wont make it easy but stay strong.

mr.ton

Tell Freds to get lost.
They have no legal power to any money - only a court does.
Report them to the OFT if they dont go away.

LDJ2009

Thanks for the replies.

I'll tell him to call Frederickson's Monday and offer the £400.

Worryingly, he was pushed into agreeing to pay over 6 months and set up a direct debit over the phone with them so would they assume he can afford the £820 and refuse the settlement figure?

jamespounder1

he can just set up a new agreement all together. If they start to pressure him again he can tell them to contact by letter in future.

like I said tell him to offer only that which he can afford.

when offering the £400 please make sure that Fredrickson International send him a letter stating that the £400 would be a full and final settlement. Sometimes they say things over the phone, "yeah its a full and final settlement" take the £400 off you and chase you for the remainder a few days later.

Dont hand any money over until you get a letter saying that £400 will be a full and final settlement.

Fitzer2000

What kind of debt is it? If the debt was pre - 2007 tell your hbrother to send a CCA ( Template available from the "Unenforcibility & Templates" thread) to prove that they have the original agreement. If they can't provide an EXACT copy then he can tell them to take a jump. It seems to me that they are pleading for any amount. Don't worry about your brother admitting he's owes the money, unless they have the original agreement then legally they can do diddly squat!!

LDJ2009

Hi, the card was taken out in 2008.

When they split, my Brother and his partner both moved into new properties and both assumed the other had paid the card off. It was in his name but she was the additional card holder.

Capital One have placed a default on his credit file. He hasn't taken on any credit since 2008 so he wasn't aware and i guess all of the mail was going to their old family home. Will settling the debt take the default off as well ?

Really appreciate your advice

DVardysShadow

LDJ2009 wrote: »

Worryingly, he was pushed into agreeing to pay over 6 months and set up a direct debit over the phone with them so would they assume he can afford the £820 and refuse the settlement figure?

This is exactly 1 of the reasons why you should never phone a debt collector. Now they have the Direct Debit, they are in control and they may help themselves whenever they feel like it - regardless of sending your brother OD and incurring bank charges. It does tend to reduce the negotiating room for a F&F settlement too.

Brother should revoke the DD in writing - keep a copy - and offer a payment plan which he can afford

LDJ2009

Hi, just an update.

My Brother spoke to Frederickson yesterday and agreed a repayment plan over 12 months and his Ex will be paying half towards the debt each month

Thanks for your help