full and final settlement amount

kezzygirl

Hello, I was hoping for some advice.


About 9 years ago, we took a £4000 loan out with alliance and Leicester. with interest added, it came to about £5000 ish.


We were able to make the payments for a good while, but then fell behind and were issued with default notices. The debt was transferred to Santander, who bought out a lot of alliance and leicesters loans at the time.


when there was £900 remaining, we offered full and final settlement of £500, as I was becoming a student and my husbad was not working. this was declined, and I heard nothing since then, just yearly arrears statements.


We are now in a position to pay back what we owe and I got in touch with Santander, who informed me the debt had been sold to hoist finance-otherwise known as Robinson way. They searched the system, but found that no letters had been issued to us notifying of this.


I called robinson way this morning and asked for a settlement figure. they told me they would accept £675. I told them I have £400 from my mum to pay this debt, they went through expenditure and put it trhough to a department to consider my offer. They called me back 1 hour later and said my offer had been declined, but they would accept £675 paid over 6months instead of 3. I told them I would speak with hubby and call them back.


what do you guys think? is this a reasonable settlement figure on their part? They said it would be in full and final settlement, but I cannot remember if they said my credit file would be marked as partial settlement or full settlement.They also said if another default was added,it would expire in april,alongside my first one, but I thought they existed for 6 years?


thanks in advance.

happy_bunny_2

They can't add another default. What is the default date on your credit file?

Send rob way a CCA request. Bet no one has it, meaning no chance of a CCJ if they tried and you defended.

No CCA request means you can ignore them until they give up or they are willing to accept the £400 or less.

thewhiteavenger

There's certainly an argument that you could have on pre-2007 debts if they can't find the original signed agreement, though ultimately only a court could rule on enforceability.

If the default expires (6 years old) in April 2015, then the entry drops off your credit record at that point so it makes little difference how they mark the settlement now. They can't issue another default

675 over 6 months isn't a bad deal though 112.50 is a bit of an odd figure - I wonder if they would accept 6 x 100 or 3 x 200 if you went back to them?

kezzygirl

Thanks, for your comments. Could they not issue another default from april? She said my current default expires april 2014.


If they marked the settlement partially settled, would this just be removed from april?

kezzygirl

apologies, april 2015 the default expires,

kezzygirl

Hello again, I sent the cca request on 17 jan, heard nothing until today, when we got a letter dated 30 Jan saying:

we write to confirm we have noted the query you have raised. we will make the necessary enquiries and let you know the outcome in due course. In the meantime we will stop all collection activity on this account. please let us know if we can assist further.


what do I do now? They were given 12days to reply, as per the template I found.
any advice would be great

thanks

happy_bunny_2

Just wait. It takes longer as they need to go ask the original creditor for it. The account remains unenforceable after 12 days until they provide it.

No they can't add a new default. Well, they can actually change the date, some do. They are not allowed to and if they did you could complain to get it removed.

Save a copy of your credit report with the default date on it. In case they try anything.

kezzygirl

thanks, how long should I give them?

happy_bunny_2

Will likely take at least a month.

I would just wait.

If they write to you before sending it, write back asking where it is.

kezzygirl

Still heard nothing from them....

sourcrates

kezzygirl wrote: »

Still heard nothing from them....

It's all in your favour, as until your request is actioned, the account is unenforceable, and will remain so until they send you the correct paperwork.