Full and Final question Please help us

honeybun16

Guys,

Thanks to all the wonderful help we have received on here we have offered a full and final settlement to Metropolitan.

I have posted this question in the Bankrupt board too but was not sure if i should have posted it over here with you guys

We have received the following letter and i just need to know if this is enough that they are unable to chase us for any more of this debt, ( it was a joint debt with other directors of a company but this bit had personal Guarantees,) or if you would send another letter requesting further proof,

What do you think??

Dear Mr XXXXXX

We confirm that we are prepared to accept £ XXXX in settlement of this account.
You can make payment immediately using the below giro slip blah. blah, blah

When your payment has cleared, we will notify the relevant credit reference agencies to mark as satisfied any default registration relating to this debt


The thing which is troubling me is that it does not say that the settlement is full and final

bottleofred

Hi honeybun,

I definitely would not pay anything until you have received written documentation that the agreed amount is as a full and final settlement of the debt. Your credit file will be marked as a partial settlement, but it's the letter and the words "as full and final settlement" that are really important for you. I would write to them again explaining this, but don't let them bully or harass you into paying until you are totally satisfied with the wording. And also keep any letters regarding settlement for a total of 6 years in case another dca comes after you for the balance.

honeybun16

What about this guys?


I write with reference to the letter dated 24/02/2011 and received today 02/03/2011 regarding this account.
I can confirm that I wish to make a Full and Final settlement payment of £XXXXX as agreed and I want to make this payment as an ex-gratia payment in full and final settlement of the account. This payment is made on the clear understanding that, when payment is received, neither you nor any associate company will take any other action against me to enforce or pursue this debt in any way whatsoever and that I will be released from any and all liability with regards to this debt.
I confirm that your letter advises that you will mark any entry on a credit reference agency file relating to the above account as "satisfied".
Payment can be made against this account only upon receipt of your written agreement of that this payment is full and final in regards to this account. Therefore to enable me to meet the given timescale of payment by 22/03/2011, please reply to this letter with this confirmation by return.
If confirmation is not received to enable me to meet the timescale of the 22/03/2011 I will require initial extension for up to 14 working days from the date the confirmation is received.
Thank you for your time and I await your prompt response.

bottleofred

Hi honeybun,

It seems like a good letter to me and the content is fine. Let us know how you get on.

Good luck

Red

geoffky

tell them its a time limited loan from family..so they do not think you have the money

honeybun16

Thanks Everyone, will post it tomorrow

fatbelly

honeybun16 wrote: »

When your payment has cleared, we will notify the relevant credit reference agencies to mark as satisfied any default registration relating to this debt

The thing which is troubling me is that it does not say that the settlement is full and final

That is generous of them to offer the 'satisfied' mark - the ICO do not require them to and, strictly speaking, it's not an accurate reflection of the deal.

It's very hard to get creditors to use the phrase 'full & final'

It sounds to me as if there is a genuine intention to do the deal with you and not to be deceptive.

It's true that their letter will be your defence should anyone try court action in the next 6 years - after that the Statute barred defence kicks in - so you need to be happy with it.