DMP Mutual Support Thread - Part 12

Suseka97

Hi Keezing - funny how they would think you've got 7k lying around somewhere, but who knows maybe if they are that desperate they'll drop even further at some point in the future. Its odd that they've not sold off/on your debt - maybe the DCAs can no longer cope with the volume

StopIt

Keezing wrote: »

Barclays seem to be really keen to get rid of my debt.

Currently paying around 220pcm on a debt of around 25k remaining.

They offered me 30% off within a couple of weeks of notifying them of our financial difficulties.

10 months on they have now offered 70% off. So they are willing to accept 7k to settle a 25k debt.

Seems weird as they would get 7k after just 3 years of my DMP payments.

Sadly there is no way I can access the funds to take advantage of the offer, so I'll just keep on paying the 220 :-)

Wait, an OC offering a 70% discount?


Something isn't right here! It's not unenforceable for any reason?

Danny008

Hey all. I'm in the process of calling my creditors and asking them to freeze interest and pay a token payment while I speak to stepchange about my financial difficulty. First one I called was MBNA and although they were really understanding they said for me to give them my I&E that I was going to give to stepchange and they advised me to make a payment of whatever I could afford. I asked them if they could freeze interest while I spoke with stepchange and they said no and I'd occur late payment charges also. Not sure whether to pay but then it won't go into my EF.

Keezing

StopIt wrote: »

Wait, an OC offering a 70% discount?


Something isn't right here! It's not unenforceable for any reason?

It's unlikely to be unenforceable. The debt is 2 years old and was signed up for online.

Someone posted in another thread about Barclays settling at 30%, so it seems to be a current strategy. A wise one, compared to selling to a DC for 5%.

heavenlyharry01

Keezing - I have a Barclaycard credit card, defaulted, not sold on.
I’ve just agreed a settlement amount at 40%.
I’ve been paying token payments of £1 for nearly a year.
Maybe they are trying to get a chunk gone??

Suseka97

Danny008 wrote: »

Hey all. I'm in the process of calling my creditors and asking them to freeze interest and pay a token payment while I speak to stepchange about my financial difficulty. First one I called was MBNA and although they were really understanding they said for me to give them my I&E that I was going to give to stepchange and they advised me to make a payment of whatever I could afford. I asked them if they could freeze interest while I spoke with stepchange and they said no and I'd occur late payment charges also. Not sure whether to pay but then it won't go into my EF.

If you are going with SC then you don't have to send them your I&E direct as well - SC will do that for you. As to whether they freeze interest or not, well some do and some don't - if you're about to enter a DMP your debt will go up a bit from where it is now because of interest and various charges, but I wouldn't overly worry about that right now. It'll be small change depending on the amount of debt you're in of course. My advice is to just write to all your creditors explaining your situation (don't call), ask for interest and charges to be frozen (NEDCAB website have various template letters for that), pay tokens (£1) if you want and then give yourself a few months before you set up a DMP.

Danny008

Suseka97 wrote: »

If you are going with SC then you don't have to send them your I&E direct as well - SC will do that for you. As to whether they freeze interest or not, well some do and some don't - if you're about to enter a DMP your debt will go up a bit from where it is now because of interest and various charges, but I wouldn't overly worry about that right now. It'll be small change depending on the amount of debt you're in of course. My advice is to just write to all your creditors explaining your situation (don't call), ask for interest and charges to be frozen (NEDCAB website have various template letters for that), pay tokens (£1) if you want and then give yourself a few months before you set up a DMP.

Thanks for the reply. Because my payment date is Monday would you send them a £1 Monday then send the letter?

sourcrates

Danny008 wrote: »

Thanks for the reply. Because my payment date is Monday would you send them a £1 Monday then send the letter?

£1 token payment costs them 50p to process.

They won’t thank you.

motivated

heavenlyharry01 wrote: »

Keezing - I have a Barclaycard credit card, defaulted, not sold on.
I’ve just agreed a settlement amount at 40%.
I’ve been paying token payments of £1 for nearly a year.
Maybe they are trying to get a chunk gone??

Hi HH

Can I ask you if BC offered the settlement offer or did you ask them?
I have 2 cards with them both defaulted recently but not sold on. 1 of them is at 4k ish. I was thinking what amount I could get away with if any

Thanks
M

heavenlyharry01

Motivated - I wrote to them and offered a settlement of about 25% which was refused. Left if a good few months and I called them. They are amazingly helpful and polite on the telephone, I wasn’t holding out much hope as I thought it was just a generic call centre. I was put on hold for a while whilst she worked out a figure. Tried to get it down, but she wouldn’t budge. Thought it best to accept!
My debt is £11,000 credit card, settled at £4,800.