Defaults

zippybungle77

Hi,
first post on here, was hoping for some advice please.
Back in 2017 I got 3 credit card defaults. Recently the management companies have offered a partial settlement (approx 50%) on each card. Is it worth taking this offer or should I just let the debt drop off in 2022? If I partially settle, does this still drop off in 2022 which is when the 6 years are up?
Even if they drop off I still have to find a way to get the debt paid at some point I’m guessing?
Many thanks for your help.

ThisnotThat

The debts will drop off 6 years from the date of default regardless of what you do.

Not paying them is a gamble, they may well go for a CCJ which will mean another 6 years in credit purgatory as well as all the other risks of enforcement (bailiffs, charging orders, garnishee orders) so it's probably a good idea to take them up on the offer if you can afford it.  50% off isn't a bad deal at all.  Just make sure you get written confirmation that the debt will be settled and won't be sold on.

[Deleted User]

The debt going from your report doesn't mean you don't owe the cash nor would they be statute barred given you have been paying the debt. You still need to keep paying them, all that will happen is that you will stop paying any more monthly if you pay the settlement offer.

zippybungle77

Thanks for the replies, I’m going to take the 50% reduction and get it partially settled and then get to work on the last two - by the end of 2022 my credit file should look a lot better!