Advice on Full and Final Settlements

invisigirl

I have recently come into a bit of money, if I can negotiate well, I can probably wipe out all of my debts with this money leaving me debt free.

My question is this:

When offering a Full and Final Settlement I know I should ask for confirmation that the debt has been settled and that anything on my credit record should be marked as such.

BUT how much is a good offer e.g. debt is £700 would an offer of £400 be reasonable?

I know each case is different but any help or tips on negotiating much appreciated.

CH27

Have you defaulted on any of your debts or are you behind with any payments?
If not, it's unlikely they will consider any offer in full & final settlement.

invisigirl

Hiya the majority of the accounts are defaulted and are at the threatening letter stage, so far today I have managed to save some money (a lot of the accounts had loads of interest on)

Here is what I have managed to achieve so far:


Vanquis Was £438.47 Paid £330
CashGenie Was £422 Paid £300
Natwest Was £340.76 Paid £300

So its not huge but I have managed to negotiate some interest charges etc wiped off my account. Although these aren't the big ones I feel so much relieve having gotten rid of them.

CH27

Well done for getting that:T
Good luck with the bigger debts. Remember to pay off the most expensive debts first.

barbiedoll

I think that some of the seasoned MSEers advise going in with an offer of 20-30%, after all, that's usually what the DCA has paid for it!

Remember, you can always negotiate, it's best to go in with a low offer and raise it if necessary.
Good luck!

invisigirl

CH27 wrote: »

Well done for getting that:T
Good luck with the bigger debts. Remember to pay off the most expensive debts first.

Hiya thanks I have set aside some money to pay these ones a large chunk of the debt and then come to arrangement with them for the outstanding amount, as I felt that clearing off all the smaller ones as well as 'managing' the big ones seemed like the best approach. With everyone adding interest every month and letters arriving every day for payment dealing with these smaller ones (as if £300 is small!) I feel like a huge weight has been lifted. The offices that deal with my CCJ are closed today but I cant wait for Monday when I can pay them and tell them to shove it! :rotfl:

invisigirl

barbiedoll wrote: »

I think that some of the seasoned MSEers advise going in with an offer of 20-30%, after all, that's usually what the DCA has paid for it!

Thanks I shall bear this in mind, I have 4 more calls to make on Monday then after that....(ALMOST) debt free!