Token Payment and settlement offers

Velli

Settlement offer at 30% rebuffed is there a 'reconsider' template letter?
Will Token payments stop all the phone calls and nasty letters?
If creditor refuses token payment offer how can I set up payments anyway with no details?
Would I need to submit an income and expenditure sheet before making these payments?
After defaults disappears from credit file will they still be after me if no settlement is reached?#
If token payments are accepted will this show on my credit file/report?

Im sorry I have all these questions runnnig through my frantic mind and in desperate need of any help.

StopIt

If they rebuff an offer, send a new letter with a higher offer if you can. They wont re-consider the same offer.


No, but blocking the numbers from your phone and writing to state that you will only communicate in writing helps.


For each creditor there should be a "Ways to pay" link on their sites, you can pay via that.


No, there's no obligation to send I&Es but it may help prove hardship.


When defaults disappear you're still liable for the debt. only after 6 years of non payment is the debt statue barred.


Yes, they'll appear as a change of balance if the debt is on your credit reports.

Velli

Firstly thank you ever so much.

When defaults disappear you're still liable for the debt. only after 6 years of non payment is the debt statue barred.

Yes, they'll appear as a change of balance if the debt is on your credit reports.

The month after the default drops off my credit report will the token payments still show on my report?

Also say if a settlement is reached a year down the line after making a year's worth of token payments will it be another 6 years after the last token payment before it drops off my file?

In other words the default is due to drop off in about 3 years and I have not made any payments for the last 3 years. If I enter into a token payment plan now wont it take 6 years from today for traces of this to drop off my file?

StopIt

Hello again.


No, once a debt is off your credit report, nothing will be reported.


A debt drops off the credit files 6 years post default being logged, no matter what happens after that.


Again though, not being reported on your credit files does not make a debt any less valid. The Limitations Act is separate from the way debts are reported to the CRAs so any debts that are still live and not statute barred can still be escalated to court etc even if it's not on your credit files.