F&F offer: advice on letter recieved

Magi74

Just wanted to get some advice from the good people here - is this sufficient to cover ourselves should this debt get sold on?

We can confirm that we are willing to accept the sum of £xxx in settlement of this account.....

....Please note that when this payment is received and shared with Credit Reference Agencies it will show as a partial settlement

Worth arguing over the partial settlement? It's a 15% reduction on something that has been defaulted. But what we don't want is this being sold on and getting hassle down the road (sure, they'll try but a copy of letter should be enough to force most DCAs off the case).

Any thoughts welcomed

nfollows1982

I'm no expert but I'm pretty sure that a 15% reduction offer for partial settlement should be laughed at!

I think most people recommend that you start with an offer at about 20% of the debt value for F&F

VitaK

It is very important that the creditor accepts the full and finale settlement offer in writting.

Some more reading and a sample letter.
National Debtline, Factsheet | Full & Finale Settlement offers

bargainbetty

Partial settlements are worth nothing. The debt can be sold on and you remain liable for the remainder. The letter wouldn't protect you in the slightest from later DCAs.

The words 'full and final settlement' or 'your account will be marked as fully satisfied' are what you need.

Write back and ask for a 40% reduction for a F&F agreement. Explain that a partial settlement is of no benefit to you, if you wish. It might stop them making silly offers if they realise you know how pointless it is.

Good luck.

onamissionEU

STOP! If you have already been defaulted on this debt then the worst has already happened and you should be looking to settle this debt "as cheaply as possible".

Full and final settlements are binding though you must have them in writing!! Make sure than any !!!!!! offer sent to you includes "upon recipt of payment, neither we (collector of the debt) or any other company will persue this balance and this account will be closed. Any credit reporting agencys used will be updated any your file marked partially settled"... or something to this affect. AGAIN: YOU NEED THIS IN WRITING!

As for the settlement amount - do not settle for more than 50%. I would suggest countering their offer with 25% and work your way up from there. Do not worry if the debt is sold on - this has no further affect on your credit rating - you can only be defaulted once for each debt.

You can find letter templates for !!!!!! offers on the !!!!!! thread here:
HTTP://
forums.moneysavingexpert.com/showthread.php?t=115430
Good luck!

fatbelly

Did you propose the 85% deal?

Are you happy with it?

The wording is minimal but OK.

'Partial settlement' is the correct mark according to the ICO