Couple of Questions about Full and Finals

yellowpinky

Thanks so much once again for your help, GeorgeUK - I feel much clearer about that now. Will keep updating as things progress.

yellowpinky

Hi everyone,

I've just had a reply from Gothia about the 30% offer I made them - basically "No". They have said in the letter for me to call them to make "an amicable payment arrangment that would suit us both". What would be my next move, to write to them upping my offer slightly? I've no intention of calling them! Also slightly alarmed that they might start chasing me.


Thanks in advance, YP

Pott5y

I am in a very similar situation on a Payplan DMP, though I have had to write about 9 F&F letters to creditors offering 40%.

I have had 1 acceptance, 1 wanting to negotiate a higher offer and the rest declining in nice and not so nice ways.

I have spoke to National Debt line and their advice to me was this:

The best thing to do is not to go straight in with a higher offer but write back saying that as they have declined your offer you will continue with the agreed DMP payments.

Leave it a month and write to them again again offering the same amount as quite often the are playing to see if you will offer more.

If still no joy then perhaps leave it another month or so and then go in with a slightly higher offer.

yellowpinky

Thanks very much for your reply, Pott5y. I was just reading your thread earlier before coming here and was thinking what good advice that was and about trying it I also hope you get some better outcomes soon with yours.

So I'm thinking to send them a letter back acknowledging their answer with thanks and saying I would continue paying them via Payplan. I'm not sure what to do about waiting a month or two - Payplan know I have the money to make offers and I don't know if they would want me to sit on it. Should I add a sentence saying I was going to offer the money to another creditor and see if they come back with an offer, before moving on to someone else?

Pott5y

YellowPinky,
I also spoke to Payplan prior to doing my full and finals and I just dropped into the conversation that it was coming from a family member for full and finals only and could not be added to my SOA. All they said was they needed to know only those that you have settled with so that they can adjust the payments to the other creditors.

I then wrote letters to all my creditors offering a pro-rata payment (see National Debt Line website -sorry not allowed to post link yet - to see how to work this out)

This is the template I used for mine (I also attached a schedule showing the pro rata payments to all creditors so they could see I was being fair):

[FONT=&quot]To: _____________________
________________________[/FONT]
[FONT=&quot] [/FONT]

[FONT=&quot]Without Prejudice[/FONT]

[FONT=&quot] [/FONT]

[FONT=&quot]Dear Sir/Madam [/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]Account No: [/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]I write with reference to the outstanding debt on the above account.[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]I can confirm that I am unable to offer to pay the money which I owe in full. As your company will be well aware, I have been making regular payments via a Payplan Debt Management Plan for the last 6 years. Unfortunately, I cannot see my circumstances changing dramatically in the foreseeable future, therefore it is likely it will take almost 20 years to clear the outstanding amount on this account. [/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]However, some of my family members are offering to collaborate to raise £ ([FONT=&quot]which is a pro-rata payment [see attached schedule][/FONT]) and I want to offer this as an ex-gratia payment in full and final settlement of the account. [/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]This offer is made on the clear understanding that, if accepted, neither you nor any associate company will take any other action to enforce or pursue this debt in any way whatsoever and that I will be released from any liability.[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]I also request that, if accepted, you will make an entry on a credit reference agency file relating to the above account as having been “satisfied” in full and the account closed.[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]As advised by Payplan no lump sum will be available until I have received written confirmation of all points in the above offer.[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]Payment can be made within 1 calendar month of receiving your written agreement of this offer. Also if this offer is accepted, please confirm your preferred method of payment.[/FONT]


[FONT=&quot]However if you are unable to accept my offer then I will regrettably have to withdraw the offer and continue paying my monthly re-payments via Payplan.[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]I look forward to receiving your reply.[/FONT]
[FONT=&quot] [/FONT]
[FONT=&quot]Yours faithfully[/FONT]


I have had an acceptance letter today from Wescot, albeit they are a bit cagey on the confirmation of some of the points so I will be writing back to them getting confirmation before sending them any money. So some will take up the offer and others may fight a bit but I am sure we will all get there. Time and patience is what is needed..... apparently!!:rotfl:


I must admit that I will be getting a member of my family to send payment as offers are accepted as I do not have a cheque book either and I have also heard that it is more legally binding if a 3rd party pays. Whatever you do though make sure that any payment is traceable - not cash.


[FONT=&quot][/FONT]

WRINKLES

Now you get the idea.

DarkConvict

Oh yes, it needs to be traceable so cheques are a good idea as are bank transfers.

Wrinkles is right, you are getting the idea. Get the replies back and ensure all the points in the letter have been agreed to. The terms you want are there for a reason.

GeorgeUK

It might also be worthwhile pointing out the length of time it will take to pay off the offerred amount at the current repayment level - they can have the money now or wait 5 years type of thing.

You might be able to increase the offer slightly and state that another creditor declined the offerred amount, but you are willing to make a F&F offer of x% before offering these funds to someone else.

yellowpinky

Hi everyone, thank you all very much for your helpful replies. I've decided I'm going to imply there has been a family "whip round" and am going to increase my offer to 35%, as this is the one debt out of all of my debts I really want rid of. I did consider offering to another creditor first and then coming back to Gothia but I want to be sure I still have enough to make a good offer before going to the others. I also don't think I have the option of sitting on things for a few months and trying again.

Anyway, this is the letter I was thinking of sending them. I've taken some phrases from Pott5y's letter ( I wish I'd written one like it the first time!), including the part about how long it will take me to pay off on a DMP, offering to another creditor, and saying that I will carry on paying them through the DMP if they refuse this time.

Any advice gratefully received! YP


WITHOUT PREJUDICE:

Dear Sir/Madam

Your ref: xxxxxxxxxxxx

Thank you for your letter dated xxxxx, received xxxxxxxx.

As you are aware I am currently on a Debt Management Plan with Payplan and as I cannot see my circumstances changing dramatically in the foreseeable future, it is likely it will take almost 9 years to clear the outstanding amount on this account.

With the help of my family I am able to make a further offer of £xxxx, as an ex-gratia payment in full and final settlement of the account. This amount is being made available to me for a limited time only to clear this debt.

As specified in my previous letter, this offer is made on the clear understanding that, if accepted, neither you nor any associate company will take any other action to enforce or pursue this debt in any way whatsoever and that I will be released for any liability.

I also request that, if accepted, you will make an entry on a credit reference agency file relating to the above account as "satisfied" in full.

The money is being made available for a limited time for me to clear this debt, so I would appreciate a reply by Xxx.

Payment can be made within 2 weeks of receiving your written agreement of this offer and method of payment.

However if you are unable to accept my offer then I will regrettably have to withdraw the offer to yourselves and offer it to another creditor. I will continue paying my monthly re-payments to you as previously via Payplan.

I look forward to receiving your reply.

Yours faithfully . . . etc

GeorgeUK

I would amend the letter slightly to say what is required in their reply as well. Tell them that the reply must state that they are accepting the payment as a F&F.