full & final settlement/Credit file questions?

foreveradevil

Hi,

I owe roughly £10k to 10 creditors and am in a position finally to pay them off. I can raise up to get 8k to pay off the debts and was wondering what advice you would give me in terms of full & final settlements to offfer? Obviously the less i can pay is better as the money will be borrowed from my parents and paid back.

My second question is relating to my credit file, am i right to assume that any defaults on my account even when the debt is not settled will remain on my file for 6 years? Will being debt free but still having 2 defauts on my file labelled as satisfied significantly improve my over credit score? My ultimate goal to is be debt free and look to getting a mortgage.

Any help is gratefully received

Rob

lvm

Hello,

You don't say whether your accounts are with their original creditors or not. I assume the 2 defaulted accounts might have been sold on to Debt Collectors but if the others are still with OC then the chances of getting a 20% discount is quite slim, even moreso if you have been maintaining minimum payments all the time.

Anyway, there is no harm in trying - they can only say no. If you post back what the status of the accounts are, you may get more help - amount, OC, DCA, last payment date.

With regards to your credit file, it will most likely be completely impossible to get a mortgage with recent defaults, even more impossible if the debts aren't settled. I know someone who has an 18 month £39 satisfied default who can't even get a credit card.

The defaults will drop off 6 years after they were issued.

Hope that helps!