A quick MSE question: final settlements

Sassers

Hi everyone :wave: this is just a quick question and sorry if it's in the wrong place......

I am in the process of claiming back a lot of bank and credit card charges and was wondering....if I have a credit card/loan/storecard, could I call the company and ask for a full and final settlement figure?

I know that debt agencies like Westcot reduce the figures sometimes - would it be feasible to ask my other creditors, even though they aren't debt collection agencies?

If I can get all my charges back, snowball for six months and then switch my mortgage at the end of this year - I will be debt free.:eek:

Thank you everyone xx:A
Love Sassers xx:T

Snaggles

I think debt collection agencies are more likely to do this because they will have bought the debt for much less than you actually owe them - so if you offer a full & final settlement that is more than they have paid for it, then they make a profit (obviously not counting their costs - I meant it in the most simplistic way....cos I'm very simple lol). Banks and credit card companies don't tend to do the same unfortunately, they would rather hold out for the full amount, and then sell the debt on to a debt collection agency if they don't think they are likely to get the full amount from you.

Crown

Hi Sassers,

Unless you have defaulted on the account it is very unlikely that any creditor will accept a !!!!!! offer as in there eyes you havent got a problem and they are expecting the total amount owed to be repaid.

It really does depend on the amounts outstanding and your circumstances.

Take a look at http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=24_full_and_final_settlement_offers for some further information.

Megatimbo

Hello Sassers, this is from my own experience and the advice i have gleaned from this site and the Consumer action Group.

Usually Full and Finals can be offered to loans, credit card accounts which have previously defaulted,but if you are running accounts with no problems and you are honouring your monthly payments its unlikely a full and final would be accepted,but there is no harm in asking for a settlement figure per se you have nothing to lose

In my own situation i have managed to get a defaulted account settled from £650 to £420 (but was not CCJ`d the account had ben passed onto a DCA for Collection)

They originally asked for £520 as a settlement figure so had to do a bit of haggling, but as a rule of thumb start your offer at 30% but most DCA take you seriously at around 50 % depends on what you think they might settle for and how old the debt is.also again if you have been meeting monthly payments to a DCA then you will maybe have to start at a realistic level.

I look on any discount to be money in your pocket rather than theirs
Also the big IF is how much you have in your hand to haggle with
and always offer less than you are willing to go to this gives you room to nagotiate.

Hope this helps.

Regards M

Sassers

Thanks to you Snaggles, Megatimbo and Crown, thanks for your answers, they've been really helpful. :beer: :beer: :beer:

To be honest, it's only a matter of time before some of my debts go to a collection agency because I am in real `stuck' and have been since January.

I was managing the debts Ok until my wages got messed up into my bank account. That was when the charges started to spiral. :eek:

But like you suggest, nothing ventured nothing gained. And I am trying for those charges.

Big hugs
Love Sassers xx

danno_4

sassers,the writers are all right sorry to say don't waste the stamp money.no onewill agree to full and final settlements while the account is being serviced sorry babe.
danno