Advice on Early Settlements for a Default

sourcrates

moneyworrier2021 said:

Hi All

Wanted to Bump this and ask a question about F& F payments

I'm down to £7.5K owing and In a months time I will have around £3K saved aside. Thats around 35%-40% total of what is owed.

if I send the first letter to Moorcroft, can I lay it on and say I've received an inheritance payment for £3K (which I haven't) I am willing to settle for that because I currently work in retail on furlough and Im worried that once that ends in September, my employer may let me go so am unsure about job security? I want to use what I have to clear the debts before I am unable to make any payments in the future?

Do these companies want proof of what im saying?

There is an art to having low offers of settlement accepted by creditors, there is also a correct process to follow, and an incorrect one.
Your first step should be to CCA this account, see if Moorcroft can obtain the correct legal paperwork, if they can`t, it may strengthen your hand later during negotiations.

Companies such as Moorcroft, buy large portfolio`s of debt for literally pennies in the pound, they then try to extract the full "on paper" amount from you, if you want to make an offer to settle this debt once and for all, you have to do it in a way that will persuade Moorcroft that your offer represents the very best return they could hope to make on the account, so yes, being creative will be to your advantage, you must persuade them that the offer you are making will be more lucrative in the long run, than continuing with further monthly payments.

How you achieve this is up to you and your own creativity.

Just to add, the whole entry will drop off your credit file when the 6 years are up, regardless of what you do, however the debt that remains at that point is still live and collectable, and still owed, it doesn't just vanish.

moneyworrier2021

sourcrates said:

moneyworrier2021 said:

Hi All

Wanted to Bump this and ask a question about F& F payments

I'm down to £7.5K owing and In a months time I will have around £3K saved aside. Thats around 35%-40% total of what is owed.

if I send the first letter to Moorcroft, can I lay it on and say I've received an inheritance payment for £3K (which I haven't) I am willing to settle for that because I currently work in retail on furlough and Im worried that once that ends in September, my employer may let me go so am unsure about job security? I want to use what I have to clear the debts before I am unable to make any payments in the future?

Do these companies want proof of what im saying?

There is an art to having low offers of settlement accepted by creditors, there is also a correct process to follow, and an incorrect one.
Your first step should be to CCA this account, see if Moorcroft can obtain the correct legal paperwork, if they can`t, it may strengthen your hand later during negotiations.

Companies such as Moorcroft, buy large portfolio`s of debt for literally pennies in the pound, they then try to extract the full "on paper" amount from you, if you want to make an offer to settle this debt once and for all, you have to do it in a way that will persuade Moorcroft that your offer represents the very best return they could hope to make on the account, so yes, being creative will be to your advantage, you must persuade them that the offer you are making will be more lucrative in the long run, than continuing with further monthly payments.

How you achieve this is up to you and your own creativity.

Just to add, the whole entry will drop off your credit file when the 6 years are up, regardless of what you do, however the debt that remains at that point is still live and collectable, and still owed, it doesn't just vanish.

Moorcroft hasn’t bought the debt from Barclays, they are just collecting it on their behalf.