Settlement offer is this legit?

Alpedro_2

Hi everyone

Got my first settlement offer today

How much you owe £££££

Thank you for agreeing the settlement amount of ££££ we are writing to confirm the details you agreed with us

.once you have paid the settlement amount we will close your account
.your credit file will be updated to show your as satisfied with a partial settlement flag

Spoke to national debt helpline they said this is satisfactory?

Yet so many people say full and final?

thank you

fermi

Full and final refers to your legal liability for the debt. i.e. they accept the smaller amount to clear the full amount, and it's final in the sense that they can't come after you for the remainder.

It's a bit of an outdated term that creditors don't tend to use now, as it's confusing in what it actually means.

Case in point here. F&F may lead you to believe that they should mark the credit file as a full settlement. That is only partly true. They should show it as satisfied with no balance remaining outstanding, but they are permitted to add that partial settlement flag as well. They can add that as it distinguishes between an account where the whole debt was paid in full, compared to one where they accepted less than the full amount to do this. Without the flag, both would look that same.

Alpedro_2

So are you saying then this is acceptable then?they have not stated that the balance will be 0 but stated they will close the account...can they close the account and leave a balance?also they have not said it is accepted of my liability...

Thank you for your reply as well

fermi

Probably OK as the account being closed and marked as satisfied basically achieves those things on your report anyway, but if it was me then I would may insist for insurance that they put in writing that:

- The settlement is accepted as a full settlement of my liability, and the amount left unpaid will not be pursued or sold on.
- The account will show as satisfied - with or without a partial flag - on my credit report, and will indicate that no balance is left outstanding.

Alpedro_2

I have just rang and quoted fca about liability and what you said about being chased or debt passed on they agreed and are sending me another letter also with the original terms

Thank you

Sazzie23

Just wanted to say thanks for this interesting and useful thread.

Alpedro_2

Got my settlement letter from nco

Cough cough ( instalment confirmation )!!!!

There is nothing about settling this account or satisfied on credit report!!!!

If I don't pay the instalment amount they will default this account even tho it defaulted 8 years ago think I might pull out and cca these !!!!!!s if they want to play hardball what u real?

sourcrates

Alpedro wrote: »

Got my settlement letter from nco

Cough cough ( instalment confirmation )!!!!

There is nothing about settling this account or satisfied on credit report!!!!

If I don't pay the instalment amount they will default this account even tho it defaulted 8 years ago think I might pull out and cca these !!!!!!s if they want to play hardball what u real?

I would CCA them, you just can't deal with stupid can you !!!!

redux

I'd send back copies of both their letters, and ask for the case to be referred back to someone in the first team, rather than someone picking up the case from scratch and not realising what is going on.

Actually, I know some people here advise against phoning these firms, but it looks like it could be useful for this, if you can get to the team who made the earlier response, and/or raise a complaint that they are promising one thing then doing another.

Alpedro_2

Spoke to the fca today they said they they have to comply with conc 7.14.14 which states that they should formally communicate that this debt needs to release me from liability etc they gave me a number to put in a complaint against Nco if they keep saying they will do this and that but do not put it in writeing etc

Nothing in writing then no payment made I have also just found out that hsbc have sold my loan agreement and credit card rolled them into one debt and called it an overdraft!!!!! I should cca this and sar and I will if they do not put what I want in writeing i would rather pay a legal expert to see if this debt is enforceable rather than pay a settlement that they can not write the appropriate terms and conditions......

Alpedro_2

Sorry I would rather pay to see if it's unenforceable