Help with paying of DMP using full and final settlement

humpers21

Hi, new to the site and after a bit of info/advice

Ive had a DMP with stepchange for about 7 to 8 years, recently looked at it and ive decided i want rid, to hopefully purchase a house in the next year. my credit score has just got better after 7 years as the default payments have cleard. 

Just after opinions on whats best to do

in total i have about £22,000 to pay between two collectors, i could possibly get around £14k to use towards paying them off.
£16k to nationwide
£6k to PRA

Do you think its best just to ask for a full and final settlement or offer around 40% off outstanding balance and see what they say?

any help would be great.

fatbelly

I think you should initiate things and make an offer below what you would eventually settle for. So I would probably start at 30% of ( not 30% off) the quoted balance, i.e. 30 p in the £

But before you do that, have you done a formal cca request on these?

humpers21

fatbelly said:

I think you should initiate things and make an offer below what you would eventually settle for. So I would probably start at 30% of ( not 30% off) the quoted balance, i.e. 30 p in the £

But before you do that, have you done a formal cca request on these?

That's what i was kinda thinking.  would doing a settlement affect my credit score?

No not done a cca request, not really sure what that is

Rob5342

Has the Nationwide one defaulted? It seema odd that is still with them if it has.

A CCA is a consumer credit agreement, if they can't produce it then they cant enforce the debt in court so you can simply ignore the debt and not pay anything. It's always worth asking for it before making a settlement offer to save you setting a debt unnecessarily. 

https://debtcamel.co.uk/ask-cca-agreement-for-debt/

These things are a game of bluff, you'll get a better deal by taking things slowly. 

fatbelly

The whole entry drops off your file 6 years after the default, so if you have been on a dmp 7 years then they should have dropped off completely and you say that has happened.

So nothing you do with these debts - pay, don't pay, settle at a discount - will make any difference to your credit file

humpers21

Rob5342 said:

Has the Nationwide one defaulted? It seema odd that is still with them if it has.

A CCA is a consumer credit agreement, if they can't produce it then they cant enforce the debt in court so you can simply ignore the debt and not pay anything. It's always worth asking for it before making a settlement offer to save you setting a debt unnecessarily. 


These things are a game of bluff, you'll get a better deal by taking things slowly. 

Yes it defaulted at least 7 years ago, not sure why it wasn't sold off

fatbelly

Nationwide are a little different. They do seem to keep hold of their debts