Final Settlement Advice Needed

kwackerman

Hi everyone,

My situation is as follows;

Been in a DMP with Payplan for about 4 years now and to be honest it's been a struggle. I may have the chance of taking voluntary redundancy soon and will want to pay off our debts.
Currently owe about 28k to around 15 creditors but I need some advice as to whether it would be best to pay off the full amount or offer a percentage for full and final settlement.
What I need to know is how much difference does having a partial settlement on my credit records compared to a full settlement. Will my credit score be seriously affected if marked as partial?
I would rather try for a partial as we don't intend moving house till the kids finish high school ( 7 years or more) but I would like to have a decent enough credit score in about 2-3 years time to enable us to remortgage and get some home improvements done.
Any advice would be gratefully received.

Andy

pure_dead_dopey

the crucial date is the default date, they will fall off your record 6 years (or 5 in Scotland) after the default. So if you've been paying DMP for 4 years, defaults will be starting to fall off in the next two years, therefore it shouldn't really matter if it is settled at partial or not. I would start at 20% of the value, get everything in writing and see how it goes, those with DCAs will settle for less.

good luck and let us know how you get on