help

dave2202

hello there as like many people i have a lot of debt but today one of my crediters phoned me and asked to increase my payment now after some time talking they offered that if i increase my payment by £2 they would take another £2 pounds of the amount owing
has this happened to anyone else
plus does anybody know why
please help as i am confuesd what is happening
many thanks dave

Tixy

Hi Dave

What sort of debt is this? is it a credit card? If so have you got behind with payments in the past and has the account been closed? were you paying the minimum payment each month? more than that or less than that?

dave2202

hi trixy its a mixture of credit cards and loans and i pay anything from £3 upto £20 for them i have several but only one has made the offer to take the extra £2 of if i increase my payment to them
is this unusal for credit firms to do this
and can you tell me what happens to my debt after the six years is up
i didnt go bankrupt
the citizen advice sorted out what i have to pay my crediters

SnowTiger

dave2202 wrote: »

hi trixy its a mixture of credit cards and loans and i pay anything from £3 upto £20 for them i have several but only one has made the offer to take the extra £2 of if i increase my payment to them
is this unusal for credit firms to do this
and can you tell me what happens to my debt after the six years is up
i didnt go bankrupt
the citizen advice sorted out what i have to pay my crediters

Has the debt been sold to a third party? Typically companies that buy up debts pay a fraction of their face value, and by the time a debt is sold it's usually been dramatically inflated with various charges. So there's quite a lot of leeway to offer incentives to debtors who clear their balance early.

What happens to your debt after six years? The debt still exists and, as you're making payments towards it, you've presumably acknowledged its genuine.

dave2202

the credit card companies and banks passed my debt onto debt collection agencies and as far as i know theres been no increase to the amount owed
so if or when i can i should take any offer from them and will this mean i wont be in debt anymore