debts-early settlement

I have quite a few debts scattered left right and centre i occasionally get early settlement letters from companies but usually they are stupid amounts like

dear mr xxxxx you owe us 5500 can you settle the balance and we will take 4800 etc

Had anyone had much sucess of contacting companies direct too get early settlement offers?? I have probably 6 debts that are sub 300 pounds and i am thinking of contacting companies direct too save me some money. My debts are all with stepchange but i owe 17000 and i was obviously wanting too get shot of that lot asap.
debts 16550
Mortgage 69500


  • zx81zx81 Forumite
    33.4K Posts
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Yes, some people do. Obviously depends on the status of the debt.
  • HuskyrunnerHuskyrunner Forumite
    542 Posts
    Well i hope i get two or three reduced offers i have emailed a few of my debts.
    debts 16550
    Mortgage 69500
  • For what it's worth, here are debts I had, and settlement offers.

    Debt - Settlement Offer

    £1,452.00 - £1,089.00
    £3,699.00 - £2,774.25
    £4,493.86 - £3,500.00 (negotiated this down from £4,000)
    £1,588.00 - £1,191.00
    £4,117.00 - £3,087.75
    £3,430.00 - £2,572.50
    £749.00 - £299.00
    £117.29 - £58.65

    From my experience, it has a lot to do with how old they are, how long they have been chasing, whether they have what they need to take you to court and how many times it's been sold on to someone else (for presumably less each time).

    Hope this helps.

  • National_DebtlineNational_Debtline Organisation Representatives - Private Messages may not be monitored
    8K Posts
    Hi Huskyrunner,

    So, from your message there seems to be a few of things to weigh up. Firstly, you can approach creditors to make your own offers, there is no minimum amount you need to offer to do this and (just like when the creditors write to you) it is at their discretion whether to accept the offer or not. Make sure everything is agreed in writing and to your terms before sending any money.

    Secondly, if you have a DMP and debts outside the DMP then this could create two more issues. (1). If you offer some debts a full and final offer and some get monthly payment plans, it means the debts are not being treated fairly. This is known as preference payments and (if your debts find out about it) could cause creditors to be more aggressive in taking action. And (2). Having debts outside of a DMP can cause a DMP to be cancelled. This is at the discretion of the provider.

    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
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