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Paying Off Credit Card Debts

We have remortgaged to consolidate our debts which were mainly credit cards. We may be unable to pay off them all in full. Is it possible to negotiate a reduced payment by paying off in a lump sum. If so how do you go about doing that.

Comments

  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    firstly you need to default on the debts (i.e. stop paying them)
    wait while they harrass you and eventually default the debt accordingly and mark your credit files appropriately
    this will trash your credit records for 6 years
    make an arrange to pay and keep this up for a few months
    hopefully they will then sell the debts on and
    then you will be able to make offers for discounted full and final settlements.
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