F&F settlements

3431Anna

I wondered if anyone can give me information, about full and final settlements I am in a DMP one of my accounts is with next and the balance is less than 60.00 I would like to settle this but i am worried that if i settle this the rest of my creditors may not be happy and may start to charge interest again, I know i can say that it has come from a family member who will only give it to me if it is used to
settle this account, but does anyone know how likely my other creditors are to start charging interest and pushing for more money. Thanks for any help with this.
(I know this is not a large debt to pay off but it would just be one less)

lxpeanut

Its always good to have one less. It is a possibility that other lenders would try to push for more money if they found out you've cleared a debt. But none of mine have done this and I haven't heard many cases where they have.

fatbelly

No, shouldn't be a problem.

It's a way of bringing forward your debt-free date.

However, if you were to go for a Debt Relief Order or Bankruptcy in the future it could cause problems as you have shown a preference to one creditor.

From your signature, you have recently started a 12-year debt management plan. If there are no complicating factors you may be better going for one of those solutions

Payplan_company_representative

Hi 3431Anna, usually we advise to not treating any creditors preferentially, however the amount is very low which may mean more money going to your other creditors in the long run. Speak to your case officer who will be able to tell you what would be best in your situation.

Lizzy