Pay full amount?

caped_crusader

I am in a very lucky situation following an inheritance to clear my c/ card debt. ( I still am pinching myself believe me).

Now should I pay the full amount I owe or should I offer a reduced figure to close my card accounts. I WILL NEVER EVER HAVE ANOTHER C/C again. I have had my cards for over 20 years and I have preyed for the day I can say "goodbye to them".
Any advise?

Bokkens

Excellant it is so nice when posters have some good luck.
If you have a debt then you can pay it off in full straight away and be shot of it.
Or you can shift the debt to a 0% card and put your money in a high interest savings account and pay the debt off bit by bit each month until the 0% period ends.
Have a good read through the savings forums so you can make the most of your winfall.
Good luck hope that helps.

nomoneytoday

If you have any pride you will simply pay them off, and then cut them up for good

Phantom_Flan_Flinger

caped_crusader wrote: »

should I offer a reduced figure to close my card accounts.

They won't accept a reduced figure just because you ask. You would need to be in financial strife with a history of no or late payments.

DAFFY_DAVEY

Congrats on being able to finally clear your credit cards!

As luck would have it, I'm in almost the same situation. Just had a windfall that will pay off the balances on my 5 credit cards. Although paying the full balances will then leave me with virtually nothing left.

I had been told by a CCCS adviser that it is quite common for "most " credit card companies to agree a discounted 'Full and final settlement'. Although the discount will probably be quite small in most cases (i was told somewhere around 5%) on large balances you could possibly save a couple of hundred quid or so. On asking what my chances of success would be, the CCCS said i shouldn't have any problems (!).

I rang 3 of my credit card companies tonight and reluctantly thought i'd try my luck.
MBNA said once any arrears had been settled then a full and final settlement can be negotiated:j ! One nill to me!

It was Egg's turn next who told me that the balance could only be settled in full. Several times! :mad: ! One all!

Lastly tried Halifax who at first said the same story. When i mentioned the advice i got from CCCS he changed his tune and gave me the number for PayPlan. So there may at least be a chance there.

At the end of the day, i am willing to pay off the balances in full.

I racked the debt up, i should pay for it. But with the money these companies have made off me (and you!) in interest over the years, surely giving a few hundred quid back won't hurt them!
If you can save some money then go for it!

Good luck, Davey

lynnexxxo

Why not just pay it all, you spent the money so why should the credit card company accept a reduced amount ??

PS Payplan is for those how can't afford to pay it back.

CannyJock

caped_crusader wrote: »

I am in a very lucky situation following an inheritance to clear my c/ card debt. ( I still am pinching myself believe me).

Deepest condolences. You should open a silver lining business, you'll make a fortune

Use it wisely and make it work for you as best you can.

bigturnip

Bokkens wrote: »

Excellant it is so nice when posters have some good luck.

Depends of you're way of looking at it, but I certainly wouldn't assume receiving inheritance was GOOD luck.

Noz

I would pay it all off

King_Of_Fools

It you do not pay it off in full then you will be marked down as defaulting on your debt which will seriously affect your chances of getting loans/mortgages in the future.

time4change

Congratulations - on the ability to have the choice - not so much for the loss of someone who you might be missing...

I am in a bit of a dilemma just now as I sold my house and although it's not enough to pay everything I can't decide how best to proceed. Phoned Egg and they offered me 25% reduction for full and final payment. From what you say here it sounds like that's a good offer..?