Is this enough of a statement from MBNA ot third party om their behalf!

ategid

After a struggle I have negotiated a reduction down to approx 35% of the full amount owing on a credit card from MBNA. They have transfered the account on to a third party who appear to work on their behalf rather than owe the debt in this instance. Can anybody advice if the following statement in their letter satisfy that noone will come after me again.
'Please note that this will show as a partial settlement on your credit file, however, neither we nor our client will pursue you any further in regards to the remaining balance.'
I have tried to get them to settle as 'Full and fina' settlement but they wont. Thanks

Tixy

I think they should say that it is accepted in full & final settlement of your liability even if it then says that your credit file will show a partial settlement.

I think the danger with the above is that they could sell it on to another person to chase you.

But it may be standard for MBNA. Might be worth renaming this thread to include MBNA settlement in the hope someone who has done them before with them reads it.

ategid

Many thanks. I'll add MBNA in the Title.

deepintrouble

As I understand it, you should never accept anything other than "full and final" settlement. Otherwise they can just sell it on and chase you for the rest of the money.

bottleofred

Hi ategid,

As the others have said, unless it contains the words "full and final settlement", I would not agree to it.

WRINKLES

If the words full and final are not included in the deal ,they will sell the debt to another DCA ,why are they offering such a good discount anyway , is the debt unenforceable , is it statute barred.

ategid

If I put all the debts together it amounts to £25,000 so I threatened them with going bankrupt if they did not offer a good deal, with no idea of how to do that. I have had a repayment from a PPI with a CC that amounted to over £9,000. I have manged to clear the mortgage - the wife thought it had been cleared allready, and reduced the outstanding to £11,200. I have also started reclaiming charges on my cards. Please if others have reached as low a point as I had at one point, by reading this forum you will find there is a way out and the advice here is some of the best you can find. I now have started looking forward to living again. In fact I have started writing about my experience - it's not happy reading but it show's that there is always hope. Sorry for the ramble.

DarkConvict

It doesn't have to be full and final settlement.

Partial is still acceptable if they are making the credit file as partially satisified.

However, the key wording is in the meaning.

1) They have said "neither we nor our client", this does not exclude other 3rd parties. It only excludes MBNA and the current DCA, MBNA could still sell the remainder to one of many other DCAs that exist.

2) Also, it fails to include the words about releasing your liability from the debt. As such this could be seen as a large single payments, not a final settlement offer.

For these 2 reasons, i would not accept. I would reaffirm the offer with them in another letter, ensuring that the required terms are stated to get this as a settlement offer and protect you against anyone else chasing the debt.