full and final settlement vs DMP

burymeamod68

Evening all,

I am dealing with a £56,000 consumer credit debt between 11 creditors.

Been in a cccs dmp for four months only and the dust is just about settling. I have just been approached by a company suggesting a full and final settlement arrangement obviously for a fee. They suggest that I will be debt free in 39 months and that in real terms I will repay £35,000 inclusive of their total fee. Sounds too good to be true ? Can anyone share their experiences of such a dilemma.

CCCS DMP repay the total debt over a longer period VS
F and F settlement with them total cost to me £21,000 less.

They were surprised that CCCS had not discussed Fand F as an option, but I am well aware that this company are not in business out of the goodness of their hearts !

They stated that the only downside of their more aggressive negotiating is a little extra hassle in phone calls and letters that I simply forward to them. The consequence re credit rating and so forth is identical to the consequence of being on an acceptable DMP.

I repeat my question too good to be true ?


Any helpful insight would be greatly appreaciated.

Tixy

Stay well clear of this as an option. Its just way of making money from you. Too good to be true.

CCCS haven't discussed full & finals with you as you don't have the money to make such offers.
People do do full & final settlements often when they have been in a DMP for a while, reduced their debts and perhaps managed to squirrel away a bit of money. If you do F&Fs through CCCS you would need to have the money to make the offers to all creditors equally.
People often negotiate indivdual F&Fs themselves with each creditor one by one, but its fairly unlikely you'll get very good discounts whilst only 4months into your DMP. The best settlements tend to be once your debts have been sold on to third parties.

burymeamod68

Thank you so much for the advice. Its been well noted already!

Best regards to you.