KPR booboo, loan settlement for £0 mistake

k2cat

I have a £25000 loan that KPR (debt collection agency) is trying to settle with me. They offered to settle the debt for £6200 but on receiving the paperwork they have made an error stating that I must pay £0 to settle the debt and for my account to be closed. My question is this. Do they have to honour the agreement at £0 or am i still going to have to pay £6200? Any advice would be appreciated. kind regards K2

Takeaway_Addict

I can't see it happening tbh...worth a go...send them a letter confirming acceptance of their offer regarding letter XXX and you believe the matter closed (there may be an official letter to this which someone maybe able to show)

However, I doubt it would work and they would probably be able to expect you to pay the correct amount.

nottoolate

http://webcache.googleusercontent.com/search?q=cache:fqZWjnzYtAgJ:www.alway-associates.co.uk/legal-update/article.asp%3Fid%3D53+&cd=8&hl=en&ct=clnk&gl=uk

k2cat

Thank you both, from what i have read it seems unlikely that i will be so lucky and will end up paying the 6200.

thanks k2

bottleofred

Hi K2,

You can make a counter offer if they don't settle for £0. I very much doubt they will, as it's a mistake, but you could offer say £5000 and see what the response is. No matter what you end up paying though, get all the details in writing and ensure the offer of settling the account has the words "as a full and final settlement of the debt" stated somewhere in the letter, to prevent another debt collector pursuing you for the remains of the debt at a later date.