Full and Final Settlement

Jeff_winter

Hi,
Has any one had any success with getting creditors to accept a full and final settlement....

I am currently doing a self managed DMP - paying ALL my creditors an agreed amount.

I have had a default raised on all but 2 of my creditors and this took place in October last year.

Would there be any advise on how to go about getting my creditors to accept a lower settlement figure?

Thanks

JW

Tixy

Hi

Lots of people on DMPs have got their creditors to accept reduced F&Fs.

The national debtline factsheet and templates are useful. https://www.nationaldebtline.org/EW/factsheets/Pages/24%20EW%20Full%20and%20final%20settlement%20offers/Default.aspx

How likely your particular creditors are to accept F&Fs depends on a number of items among other things
-how long it will take to repay the total at the current repayment rate
-whether interest has been frozen
-who currently owns the debt (creditor/debt collector etc)
-whether they have all the correct paperwork on file relating to the debt
-size of the balance
-whether you are a homeowner and therefore the chance of them securing the debt against your property

Jeff_winter

Thank you Tixy.