paying off debts in full

NEIL77

hi there my fiancee is £7000 in debt and we need some advice we have just had a £5000 windfall my question is if we offered to pay these debts back she owes 7000 to five companies by the way could we get a reduced settlement if so how much we looking at and which is the best way to do this ?

Kevicho

Hi Congratulations on your luck, hopefully it wasnt out of something bad.

I would suggest that with the size of the debt, most of the companies would be reluctant to accept smaller payments as they know the likelyhood that they should be able to receive payment in full is realistically quite high.

2000 pounds isnt a lot of debt in the scheme of things, maybe pay off the debts with the highest interest rates and then the 2K on the remaining debts should be cheaper to pay off.


I suggest you go through your fiances finances and work out an SOA, with the majority of the debt paid off, the remaining debt could be cleared a lot quicker thanks to all those minimum monthly payments being cleared.

post it on here as well for more advice.

Good luck

fermi

There is lots of info on making "Full and Final Settlements" on the National Debtline website here:

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=24_full_and_final_settlement_offers

Always make sure that any offer made for settlement by a creditor is always worded as FULL AND FINAL SETTLEMENT. No other wording of an offer is worth the paper it is written on.