Full & Final Settlement Advice

cathy57

Hi everyone,

I am now in the position to make full and final settlement offers to my 5 creditors.My total debt is just under £30000.
I have been paying them since 2008 a monthly amount through Payplan,but lately I have missed 4 payments as I can't manage them anymore.
My mother has offered to help but the maximum she can afford is £15000.Therefore,I have made an offer to all my creditors for a full & final settlement.So far,only NCO has accepted 50%,but the debt was only just over £1700.
DLC have declined my £4000 offer for a £10000 debt,but they want £7500 which I have declined.
I have not heard from Link Financial yet.
Wescot and Moorgate want me to fill the income and expenditure form,which is fine,but they want to know about my other creditors,how much I owe them and what is the total amount I dispose of to settle of my debts.
My question is : Am I obliged to tell them ?

Many thanks.

sourcrates

Hi Cathy,

No, your not obliged to tell them didley squat, its none of there business.

What you should say is that a family member has made a sum of money available to me on the basis i can clear my outstanding debts with it.

They dont need to know who, or how much, or what your other debts are.

Just fill in what you believe to be relevant, and nothing else.

Make sure any offers that are accepted, are backed up in writing.

cathy57

Thank you so much for your prompt reply.I will follow your advice and see what their replies are.Kind regards.

National_Debtline

Hi Cathy


I would suggest there's not necessarily any harm in listing all of your creditors - it helps make it clear that any pot of money has to be distributed more thinly than to just that one creditor. Up to you of course.


You may wish to impose a time limit on creditors to accept - after all, who is to say your mother wouldn't need this money for other purposes further down the line? You can't guarantee the offers indefinitely and this may actually work in your favour.


With these negotiations it always comes down to how much both sides are prepared to push and pull. Good luck and have a read of our guide if you've not already done so:


https://www.nationaldebtline.org/EW/factsheets/Pages/fullandfinalsettlementoffers/lumpsumoffers.aspx


Dennis
@natdebtline

poppasmurf_bewdley

cathy57 wrote: »

Hi everyone,

I am now in the position to make full and final settlement offers to my 5 creditors.My total debt is just under £30000.
I have been paying them since 2008 a monthly amount through Payplan,but lately I have missed 4 payments as I can't manage them anymore.
My mother has offered to help but the maximum she can afford is £15000.Therefore,I have made an offer to all my creditors for a full & final settlement.So far,only NCO has accepted 50%,but the debt was only just over £1700.
DLC have declined my £4000 offer for a £10000 debt,but they want £7500 which I have declined.
I have not heard from Link Financial yet.
Wescot and Moorgate want me to fill the income and expenditure form,which is fine,but they want to know about my other creditors,how much I owe them and what is the total amount I dispose of to settle of my debts.
My question is : Am I obliged to tell them ?

Many thanks.

I don't think it would do any harm to mention in any letter you send to your creditors that the option of bankruptcy or a Debt Relief Order is an option for you if they don't agree a settlement.

A friend of mine used such a tactic a year or so back, and it seemed to concentrate their minds to an extent that they succumbed to his offers after initially declining.