early repayment/ settlement

apple101_2

Hi,

I have various credit cards and store cards which I want to clear in full. I have managed to save up some money and want it to go far.

I have read on varius sites that I can call up the creditor and ask fo an early settlement figure and request it be reflected in my credit file as satisfied in full.

I am afraid that if I ask this then it may affect my ability to get good credit in future.

I have maintaned these accounts for the past 10 years and feel that I have already paid over the odds and should be entitled to an early settlement reduced figure.

Will this affect my credit rating and what percentage should I ask for to clear the balance. will this affect my ability to borrow in the future and for how long?

I have £5300 of debts and £3500 of savings.

should I call them or wirte to them?

Any thought? Thanks in advance.

thenudeone

Why should a creditor allow you to get away with paying some of the debt when you've proved you're capable of paying at least the mimimum every month? How would you treat your employer if he/she suggested only paying you part of your wages, even though the company wasn't in financial difficulty?

They won't even consider it unless you have defaulted (which WILL be recorded on CRA files) and probably demonstrated that you simply can't afford to repay it.

Pay your debts in full if you ever want any form of credit in the next 6 years.

CLAPTON

if you have been paying according to the T&Cs then your need to

-stop paying for three months or so
-let them default your a/cs
-you will receive loads of phone call harassing you (but your can complain about these)
-your credit record will then be trashed for 6 years
- then they might consider a full and final settlement at a figure less than your owe.

apple101_2

Thanks! I get it!