Full and final settlements?

Lcornbat

in the hope of advice. I have about £4500 of debt spread over about 7 debtors. I never want a credit card or anything again myself and my new partners income is ridiculously low so we are good at now living within our budget . however I would like to one day in years to come be able to consider buying a house and getting a mortgage. However pie on the sky this dream is. Researching over the last few days I don't know what the best option is. As I said most of my debt(about 4000) has default dates meaning they should be state barred by 2019 . but if I was to leave it I'm aware they could wait till the end and still apply for ccjs. I've read about offering them settlements sometimes 20p to the £1 . should I do this? If I did and they accept would the details still come off my report in 2019? Does every account settled or not come off after 6 years? Also if I did make an offer that means I'm acknowledging the debt and therefore does the 6 year start over again or does the original default date stand. Sorry loads questions thanks

pappa_golf

Lcornbat wrote: »

in the hope of advice. I have about £4500 of debt spread over about 7 debtors. I never want a credit card or anything again myself and my new partners income is ridiculously low so we are good at now living within our budget . however I would like to one day in years to come be able to consider buying a house and getting a mortgage. However pie on the sky this dream is. Researching over the last few days I don't know what the best option is. As I said most of my debt(about 4000) has default dates meaning they should be state barred by 2019 . but if I was to leave it I'm aware they could wait till the end and still apply for ccjs. I've read about offering them settlements sometimes 20p to the £1 . should I do this? If I did and they accept would the details still come off my report in 2019? Does every account settled or not come off after 6 years? Also if I did make an offer that means I'm acknowledging the debt and therefore does the 6 year start over again or does the original default date stand. Sorry loads questions thanks

If I did and they accept would the details still come off my report in 2019?


yes 2019 , but they would be marked as satisfied , which might give you a better chance of a mortgage




Also if I did make an offer that means I'm acknowledging the debt and therefore does the 6 year start over again or does the original default date stand.




yes , restarts the clock

Lcornbat

Sorry still struggling to understand. So if I come to an agreement say this month its marked as satisfied until 2019 when it disappears altogether? So in that case the clock doesn't reset? But if they don't accept then they can change the default date? I thought they couldn't do that?

Heffi1

The debt will disappear completely from your file, 6 years after a default has been added whether it is paid or not, if you enquire about it, you cannot restart the clock, they have to use the default date so check when that is and then 6 years later it is gone.

Nebulous2

I think people are talking about two different things here. If your account is marked as satisfied then it comes off your file 6 years after the default as said.

However to be statute barred you need to not have acknowledged it or paid anything towards it for 6 years. Making an offer would be seen as acknowledging it, which would reset the statute barred clock.

I think you would then be in the position where they could still take you to court and get a CCJ for another 6 years, even though the default had fallen off your report.

So the two things are not the same, they just happen to have the same timescale.

Lcornbat

Yes maybe that's where I'm getting confused too. So maybe If I approach the companies one at a time starting with most recent with offers then as you said they'll come off even if marked satisfied in 2019 as that's the default date on record. However I suppose the issue is that if they don't accept an offer that's affordable to me then I'll be stuck for another 6 years . unless anyone else has suggestions