Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Confused990
    • By Confused990 21st May 19, 4:11 PM
    • 20Posts
    • 0Thanks
    Confused990
    Token
    • #1
    • 21st May 19, 4:11 PM
    Token 21st May 19 at 4:11 PM
    Hi,
    I am currently making token payments to my creditors and have been for around three months now. Little advice, what’s the longest you have paid token payments for?

    Also, the majority have defaulted me already. How long til they pass my debt onto a dca? And when do you think I will be in a position to offer full and final settlements? As in the future, my parents are willing to give me an amount which is half of my debt and wanted to know if this would potentially be accepted?

    Tia x
Page 1
    • fatbelly
    • By fatbelly 21st May 19, 5:54 PM
    • 14,201 Posts
    • 11,216 Thanks
    fatbelly
    • #2
    • 21st May 19, 5:54 PM
    • #2
    • 21st May 19, 5:54 PM
    Some people make token payments for years, though you have to question what the point of that is.

    How long before they pass the debt on? It can vary between soon and never.

    If F&F was the best strategy for you then I would say to stop payments and offer F&F in 6 months. 50% would be enough to play with. Again with no guarantee of success.

    But you do not have that money? As your credit record is already trashed, would a DRO or bankruptcy not cost your parents less?

    How much debt are we talking about?
    • Confused990
    • By Confused990 21st May 19, 7:12 PM
    • 20 Posts
    • 0 Thanks
    Confused990
    • #3
    • 21st May 19, 7:12 PM
    • #3
    • 21st May 19, 7:12 PM
    Hi, thanks for your comment. So continue token payments for another six months then offer a F&F?

    My debt total is around £6700.

    Thanks x
    • Confused990
    • By Confused990 21st May 19, 7:18 PM
    • 20 Posts
    • 0 Thanks
    Confused990
    • #4
    • 21st May 19, 7:18 PM
    • #4
    • 21st May 19, 7:18 PM
    I already spoke to one of my creditors, and they are willing to settle a £3700 balance for £1800. So after that technically it would leave me a debt total of roughly £3000 to then offer £1200 to settle the others.

    Tia x
    • fatbelly
    • By fatbelly 21st May 19, 7:56 PM
    • 14,201 Posts
    • 11,216 Thanks
    fatbelly
    • #5
    • 21st May 19, 7:56 PM
    • #5
    • 21st May 19, 7:56 PM
    Token payments might actually slow the process down. If you genuinely have no surplus income, I'd stop paying.

    So £6700 debt potentially settled with £3000 gift from your parents, if you can get the tiddlers ( a lot of payday lenders I think) to agree.

    It's your decision but if it's an option and you meet the other criteria, I'd consider asking them to set aside £2910 somewhere as an emergency fund for me, and pay my £90 DRO fee.

    Clean break & start again.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

2,402Posts Today

7,970Users online

Martin's Twitter