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Feeling very silly offering such a small amount!

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I have got a letter sorted for my Creditors reads like this....
WITHOUT PREJUDICE:

Dear Sir/Madam
Re:

We write with reference to the money which you are claming on the above account.
We can confirm that we are unable to offer to pay the money, which we owe in full. .
However, I can raise (Amount in here 30%) and I want to offer this an ex-gratia payment in full and final settlement of the account.

This offer is made on the clear understanding that, if accepted, neither you nor any associate company will take any other action to enforce or pursue this debt in any way whatsoever and that we will be released for any liability.

We also request that, if accepted, you will make an entry on a credit reference agency file relating to the above account as "satisfied" in full.

Payment can be made within 2 weeks of receiving your written agreement of this offer and method of payment.


We look forward to receiving your reply.

Now i was going to start of with offering 30% to them all. can anyone help with previous experiences with the same people. ( i have also but the amounts owed + what the 30% is equal to)

Barclays (currently selling my debt) - Owed - £1010.17 : 30% = £303.05
CL Finance - Owed - £294 : 30% = £88.20
HFC Bank - Owed - £3382 : 30% = £1014.60
Lloyds Card Services - Owed - £1094 : 30% = £382.90

Now after looking at those figures Especially CL Finance i feel silly at offering such a small amount :(

i have more available. do you all think it will be pointless starting at such a low offer??
LightBulb Moment - 3rd December 2007


Total Debt - £6000ish (still working it out)
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Comments

  • It is always worth a try- they will probably push for more WHATEVER you offer unless it is the full amount. They can only have what you can afford

    Best of luck!!
    Don't get strung out by the way I look,
    Don't judge a book by it's cover
  • LilacPixie
    LilacPixie Posts: 8,052 Forumite
    Worth a try. alot of the times they sell tp a DCA for less than 10% of the amount so you never know.

    What i would say however is if they refuse do not automatically increase your offer. Write again and ask them to reconsider as the 30% offer is all you can afford. somtimes they only accept on the 2nd offer on the off chance you will panic and offer significantly more.
    MF aim 10th December 2020 :j:eek:
    MFW 2012 no86 OP 0/2000 :D
  • Jindebt
    Jindebt Posts: 132 Forumite
    if i then reaply saying i can offer a further 10% will they then not realise i have got more than im letting on?
    LightBulb Moment - 3rd December 2007


    Total Debt - £6000ish (still working it out)
  • Jindebt
    Jindebt Posts: 132 Forumite
    well im going to start at 30% ive done letters and they are ready to be posted.

    am i likely to get a response? as i have only been on my DMP for 5months never missed a payment on it.

    how long do most normally take to reply?? :(
    LightBulb Moment - 3rd December 2007


    Total Debt - £6000ish (still working it out)
  • Incisor
    Incisor Posts: 2,271 Forumite
    1,000 Posts Combo Breaker
    A picky point, it is not an ex gratia payment. It is far less than you owe, and if anyone understands the meaning of ex gratia, it is actually insulting to use the term here.

    I think they will automatically reject your first offer, at which you should ask what they will accept and then make your final offer. Leave a margin in hand on your first offer
    After the uprising of the 17th June The Secretary of the Writers Union
    Had leaflets distributed in the Stalinallee Stating that the people
    Had forfeited the confidence of the government And could win it back only
    By redoubled efforts. Would it not be easier In that case for the government
    To dissolve the people
    And elect another?
  • Jindebt
    Jindebt Posts: 132 Forumite
    what should i replace that with?? and what do you mean leave margin in hand on the first letter?

    also should i send them all recorded post?
    LightBulb Moment - 3rd December 2007


    Total Debt - £6000ish (still working it out)
  • louietudor
    louietudor Posts: 273 Forumite
    think you should just leave it out ie and I want to offer this payment in full and final settlement

    leaving yourself a margin is dont offer the amount you have got offer less then start form there

    yes ALWAYS send recorded - i even put the number in the letter ie: this letter was sent recorded number: xxxxxxxx
  • Jindebt
    Jindebt Posts: 132 Forumite
    ok thanks for your help. i'll edit them again lol
    LightBulb Moment - 3rd December 2007


    Total Debt - £6000ish (still working it out)
  • stapeley
    stapeley Posts: 2,315 Forumite
    hi , you have to show you are being far to all the creditors , there's a guide available from CCCS . If you email them ,they will sent it by email . Are any with DCA,s . If you get in quick Barclay's may accept a little less ,as they will get only 15 p in the £1 from a DCA. But be careful if they think you have a decent lump sum they may push for increased payments .Do not go into too many details on where monies coming from , you could say a family member is willing to give you the money on the understand that all debts are cleared . Also make it clear offer is only available for a limited period .
  • Jindebt
    Jindebt Posts: 132 Forumite
    i have now sent the offers off. i didnt read the post about showing i am being fair :( to late now.

    I have worked out exactly 30% for them all. guessing i'll need to wait for the replies now :( how long do the companies normally take?
    LightBulb Moment - 3rd December 2007


    Total Debt - £6000ish (still working it out)
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