Debt help please

System

This discussion was created from comments split from: DMP mutual support thread part 13 !!.

NannaH

My Sister has asked for advice so I thought I’d ask here.  

She’s now a pensioner with State pension + disability benefits and a tiny annuity of £2k a year in a HA Flat. 
She has two cc’s  £8k with Virgin money and £3k with Barclaycard,  she can’t pay them back now that the interest has shot up on them,  she can’t get further 0% transfers. 

I’ve told her to default on payments and outlined what will happen,  she can probably afford monthly payments of  £25 x 2 at most so she can build up some savings. 

My query is,  how long on average does it get to the stage of a decent F+F settlement?
If it could get to around a 60% discount then I could help her out.   Are we talking a couple of years or more?  

Pixie5740

NannaH said:

My Sister has asked for advice so I thought I’d ask here.  

She’s now a pensioner with State pension + disability benefits and a tiny annuity of £2k a year in a HA Flat. 
She has two cc’s  £8k with Virgin money and £3k with Barclaycard,  she can’t pay them back now that the interest has shot up on them,  she can’t get further 0% transfers. 

I’ve told her to default on payments and outlined what will happen,  she can probably afford monthly payments of  £25 x 2 at most so she can build up some savings. 

My query is,  how long on average does it get to the stage of a decent F+F settlement?
If it could get to around a 60% discount then I could help her out.   Are we talking a couple of years or more?  

There is nothing stopping your sister making F&F offers now but generally speaking she is more likely to be successful waiting until Virgin and Barclaycard has sold the debts on for pennies in the pound.

https://www.nationaldebtline.org/fact-sheet-library/full-and-final-settlement-offers-ew/

As an alternative to F&F has your sister considered a Debt Relief Order?

https://www.nationaldebtline.org/fact-sheet-library/debt-relief-orders-ew/