Credit card early settlement offer

nikki1000

Hi,
I have had this credit card for approximately 12 years. I took it out to get me through Uni when I was a single parent. Around 5 years ago I arranged with them to pay a small amount off each month and had the interest frozen as I could not afford to make the minimum repayments - I live with my partner in his house with our children and am a stay at home mum. They agreed to this and I have continued to make the repayments since then.
Around 4 years I sold a property that I owned and made a small profit. I approached the credit card companies that I owed money to (there was 3 in total all of which I had made the same arrangement with) and made them an early settlement offer. Two of them agreed to this and were paid off. This 3rd one which is with Lloyds did not respond to my offer. I carried on paying the small monthly amount with the interest frozen. I then saw a post on a forum saying that I may be able to rid myself of this debt if the lender did not have my original paperwork. I wrote to the lender and they sent me a copy of the original paperwork and also sent me a letter telling me not to believe what I may have read on the internet if that's why I had asked for this paperwork and that I would have to repay the debt. I then had a letter from them a few weeks later asking for the full amount to be paid (just under £5000). I called them and they agreed to me continuing with the original agreement but did say that they would be forwarding my account to the collections department. I then continued to get letters from solicitors etc asking me to pay back the minimum payments and telling me to call them and not ignore the letters. I called them each time and each time I was told that it was just the process and to ignore the letters.
I went onto another forum and it said to offer them a settlement amount of no more than 10%. I have recently done this (as my father will agree to lend this amount to me) but again they have not responded. I have until December before they start to take proceeding against me. I do not know what to do, as I am in no position to pay them back. Any suggestions?

PNPSUKNET

thats the risk you run when trying to get out of debt, no lender likes it.

chattychappy

You don't make it clear if you really can't pay (you say no position to), or still just don't want to pay. It seems you bought or came into property which you then sold and are now living in someone else's house. Really the solution is to pay up before you get landed with further interest and costs etc. You say you are a "stay at home mum" - can you get an income somehow?

If you really can't afford to pay, then perhaps you should borrow from your father as he is willing to lend. But why do you think they should accept only pay 10%?