Full and Final Settlement negotiations

dedwards7

Hi All,


I currently have 6 defaults and a CCJ on my credit report.(all unpaid)


The CCJ drops off in 2017
The defaults drops off between 2017-2020


I am planning on getting these paid, not waiting for them to drop off.


I am currently negotiating with DCA's (Lowell and 1st Credit)in order to get a full and final settlement. Currently both companies are offering a 20% discount on debts of £953, £250, £770 and £350


Im would like to accept their offer, however, they are telling me they will mark my credit file as 'Partially satisfied' not 'Satisfied'


Is there a way of negotiating with them to get the to either remove the default all together or adjust it to say 'Satisfied'
So far they are unwilling to do either.


I realise I have racked up these debts, but really want to sort myself out ASAP.


Any views/advice welcome!! Thanks in Advance!

NorthernMonkey83

Hi there,

Unless you pay the full outstanding debt (where they will mark as settled) any debt (ie settlement payment) will be marked as partially setttled.

Fact remains the debt will be paid... and it will still look better than a default account.

I also wouldnt accept the standard 20%... make a case to your creditors and offer a pro rata settlement to them

dedwards7

NorthernMonkey83 wrote: »

Hi there,

Unless you pay the full outstanding debt (where they will mark as settled) any debt (ie settlement payment) will be marked as partially setttled.

Fact remains the debt will be paid... and it will still look better than a default account.

I also wouldnt accept the standard 20%... make a case to your creditors and offer a pro rata settlement to them

Can you explain what this is please?

dedwards7

Sorry... I only meant the Pro Rata part.

NorthernMonkey83

Pro Rata means give the creditors a fair proportion of your settlement.

Using as a example ( a very rough example )if you have £10k to clear £20k of debts

Barclaycard £7000
Halifax £5000
Nat West £4000
Santander £2500
Wonga £1500

Barclaycard £3000
Halifax £2750
Nat West £2500
Santander £1250
Wonga £500

Put the offer to the creditors with a explanation you'd be suprised at what they'll accept

Harley8

I found Lowell were hard to negotiate a good settlement figure so pay off as small amount every month...

Cap quest on the other hand just offered me a settlement figure of 80% off the original debt and I'm wondering if it has anything to do with the fact they have just been acquired by another compsny?

When browsing a few days ago, someone posted a template settlement letter, maybe use that and send it to your creditors offering at least 50/60% of the debt.. Definitely don't settle for 20%

Harley8

^^ just like to add that, even having a partial settlement looks better than a default on your credit file and it will show future credit searchers that you are attempting to pay back..

Also DCA buy the accounts for pittance compared to what they are worth so definitely keep pushing