Link Financial Settlement Offer

olevbendz

I'm hoping someone can assist me with this matter. I recently contacted Link Financial to propose a partial settlement of £300. They responded with the following message:

Unfortunately we are unable to accept the sum of £300.00 but we would be prepared to accept the sum of £352.79 in settlement of this account. Payment should reach our office by 28/04/2024 and bank details can be found at the bottom of this letter.

Following receipt and full clearance of the agreed payment, we will close your account and register a partial settlement with the  credit reference agencies. Credit reference agency information lasts for six years, sot his may affect your ability to obtain credit in the future.

I have the following questions / concerns:

1) Concerning the language used in their letter, is there a chance they might pursue me for the remaining balance after I've made the settlement payment? Could they potentially transfer the remaining amount to another debt collector for collection?

2) The letter states that information about the partial settlement will stay on my credit file for six years from the account's closure. However, I currently have a default on this debt that is due to be removed in July 2025. If I opt for the partial settlement, will the account information and the partial settlement remain on my credit file for an additional six years, or will all details regarding the debt, including the partial settlement, be removed next July?

I've looked at my credit report to see what information it shows on file. This is all the details regarding this debt:

LINK FINANCIAL (LBG) with a balance of £474.00
NAME - ADDRESS - Date of Birth: 00/00/000 (Won't put this information on here)
Details of Account

Account: LINK FINANCIAL (LBG)

Type: Bank
Account started: 14/06/2019

Current Status: Default / Ended
Credit Limit: -
Default Balance: £536.00
Current Balance: £474.00
Entry code: C11
Default Date: 14/06/2019
Last updated: 11/02/2024 

Months	Status	Balance (£)
-0 months	Default / Ended	£474.00
-1 month	Default / Ended	£481.00
-2 months	Default / Ended	£483.00
-3 months	Default / Ended	£484.00
-4 months	Default / Ended	£485.00
-5 months	Default / Ended	£486.00
-6 months	Default / Ended	£487.00
-7 months	Default / Ended	£488.00
-8 months	Default / Ended	£489.00
-9 months	Default / Ended	£490.00
-10 months	Default / Ended	£491.00
-11 months	Default / Ended	£492.00
-12 months	Default / Ended	£494.00
-13 months	Default / Ended	£495.00
-14 months	Default / Ended	£496.00
-15 months	Default / Ended	£497.00
-16 months	Default / Ended	£498.00
-17 months	Default / Ended	£499.00
-18 months	Default / Ended	£500.00
-19 months	Default / Ended	£501.00
-20 months	Default / Ended	£502.00
-21 months	Default / Ended	£503.00
-22 months	Default / Ended	£504.00
-23 months	Default / Ended	£505.00
-24 months	Default / Ended	£506.00
-25 months	Default / Ended	£507.00
-26 months	Default / Ended	£508.00
-27 months	Default / Ended	£509.00
-28 months	Default / Ended	£510.00
-29 months	Default / Ended	£511.00
-30 months	Default / Ended	£512.00
-31 months	Default / Ended	£513.00
-32 months	Default / Ended	£514.00
-33 months	Default / Ended	£515.00
-34 months	Default / Ended	£516.00
-35 months	Default / Ended	£517.00
-36 months	Default / Ended	£518.00
-37 months	Default / Ended	£519.00
-38 months	Default / Ended	£520.00
-39 months	Default / Ended	£520.00
-40 months	Default / Ended	£522.00
-41 months	Default / Ended	£522.00
-42 months	Default / Ended	£523.00
-43 months	Default / Ended	£524.00
-44 months	Default / Ended	£525.00
-45 months	Default / Ended	£526.00
-46 months	Default / Ended	£528.00
-47 months	Default / Ended	£529.00
-48 months	Default / Ended	£530.00
-49 months	Default / Ended	£531.00
-50 months	Default / Ended	£532.00
-51 months	Default / Ended	£532.00
-52 months	Default / Ended	£534.00
-53 months	Default / Ended	£535.00
-54 months	Default / Ended	£536.00

sourcrates

The entry will drop off your credit file six years after the date of default regardless of what you do.

That letter is just a generic template to cover their !!!!!!.

Settlement offers are best agreed in writing beforehand, with the following sentence from the National Debtline template letter included-

"I am making this offer on the clear understanding that, if you accept it, neither you nor any associate company will take any other action to collect or enforce this debt in any way and that I will be released from any liability".

It has been known in the past for unscrupulous collection companies to sell on the remainder of partially settled debts to 3rd parties, it really is up to you to cover yourself against any and all liability.

olevbendz

Hello, thank you for getting back to me! I'm glad to hear that. I'm aiming to apply for a mortgage in August next year, so I'm currently working on improving my credit file and paying off all my debts by August of this year, so I was concerned that by trying to fix it via this method, I could unwillingly be causing more issues. 

"I am making this offer on the clear understanding that, if you accept it, neither you nor any associate company will take any other action to collect or enforce this debt in any way and that I will be released from any liability".

I used that template in my letter to Link Financial, including that exact part. So, I'm feeling pretty confident about going ahead and paying the settlement. Thanks a lot for your help! 

stu12345_2

link offered me 25% off an aqua card that is still showing active even though I can't use it and it's on a dmp. no questions asked.

they said if I want 50% off they want an income and expenditure statement and they will sent it to their client , aqua for a decision 

note they haven't defaulted me even though it's 2 years on a dmp. I asked for a default in November ,they said they would , but didn't 

it's my only creditor that hasn't defaulted on a balance of approx £1100