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  • FIRST POST
    • Weggy
    • By Weggy 19th Nov 05, 10:20 AM
    • 463Posts
    • 98Thanks
    Weggy
    Full and final settlement help thread
    • #1
    • 19th Nov 05, 10:20 AM
    Full and final settlement help thread 19th Nov 05 at 10:20 AM
    Hi all

    Am currently trying to negotiate with debt collection agencies, to get them to accept a full and final settlement figure. Does anyone have any tips on persuading them to lower their demands?

    Thanks

    Last edited by MSE Archna; 21-06-2006 at 7:41 AM.
Page 113
    • freshstart11
    • By freshstart11 14th Jun 18, 11:40 AM
    • 410 Posts
    • 703 Thanks
    freshstart11
    Agreed a 50% F&F with Cabot over 4 instalments! lovely lady actually I spoke to and have it in writing as well .
    Official DFD: Dec 29
    Challenge DFD: July 23
    Debts Cleared: 1/13
    Building EF: £20/£600 3%
    • bumfluff73
    • By bumfluff73 14th Jun 18, 1:48 PM
    • 1 Posts
    • 0 Thanks
    bumfluff73
    Hello! Just a couple of questions...

    I'm currently on a DMP with Stepchange, which covers five accounts, all of which are obviously in default. I checked my credit file on Noddle yesterday, and it seems that each account is marked with a red D for default for each of the past two years (when I started the DMP). I was under the impression that a default notice was a one-time event on your credit file - will the default come off my credit file in four years' time, or will it remain until all debt is paid? Basically, if I still have debt owed in six years, will it show as a default? Just wondering as I want to get my file in order as soon as I can. I rent privately which is why I'm concerned about credit checks.

    Secondly, some of my debts were sold on last year - I think. The agencies my debts are with are Link Financial Outsourcing (Barclaycard), Westcot Credit Services (Lloyds, Halifax x 2, BoS) and PRA Group (MBNA)- all of which I believe are 'debt collection agencies' run by the same banks. Does this mean they may be more likely to accept F+F when I'm ready to make an offer? Or should I keep building my funds and wait to see if it is sold on once again? The amount they are all getting each month is well below the normal minimum payment - probably the absolute lowest I can pay given my income/outgoings - but they are being maintained.

    Thanks in advance!
    Last edited by bumfluff73; 14-06-2018 at 1:54 PM. Reason: clarification
    • onedaysomeday
    • By onedaysomeday 14th Jun 18, 2:08 PM
    • 560 Posts
    • 817 Thanks
    onedaysomeday
    Hello! Just a couple of questions...

    I'm currently on a DMP with Stepchange, which covers five accounts, all of which are obviously in default. I checked my credit file on Noddle yesterday, and it seems that each account is marked with a red D for default for each of the past two years (when I started the DMP). I was under the impression that a default notice was a one-time event on your credit file - will the default come off my credit file in four years' time, or will it remain until all debt is paid? Basically, if I still have debt owed in six years, will it show as a default? Just wondering as I want to get my file in order as soon as I can. I rent privately which is why I'm concerned about credit checks.
    Originally posted by bumfluff73
    It will come off in four years time, 6 years after the default date of the account (which should be the first red D )
    Just trying to make up for past mistakes and work towards the future I want
    • NeverendingDMP
    • By NeverendingDMP 15th Jun 18, 9:38 AM
    • 104 Posts
    • 446 Thanks
    NeverendingDMP
    It's official. First debt cleared via full and final. Had my letter to say balance clear won't be chased etc. Settled at slightly under 60% of amount owed with moorcroft/arrow global. Yay.
    Three of my six remaining are currently unenforceable so I've opened a help to save account. Money I would pay on unenforceable debts is going in there. I will get a bonus on any savings in two years. Im hoping I can
    Continue this and my bonus will go towards next full and final offer in a couple of years. If anyone on tax credits is reading this and thinking how will I ever save for a full and final you might be eligible to open a help to save as well.
    35,213 in Jan 2018, 31990 remaining.
    Mortgage 77230 in Jan 2018
    75612 remaining.
    • ella2ethan1
    • By ella2ethan1 4th Jul 18, 9:41 AM
    • 188 Posts
    • 154 Thanks
    ella2ethan1
    Hiya,

    Is it best to ask for the F&F in writing then? Iíve probably done everything backwards !!!128584; Iíve phoned up one creditor and paid 50% it was my smallest one though and cancelled my payment with stepchange as Iím now in a position to settle all my debts depending on the figures I get.

    Wescott are handelling my banks/loan/overdraft Iím not sure about barclaycard, next and very though I might just wait for letters to come in for none payment.

    Can I do wescott together or do I have to have 3 settlements?

    Thanks Sarah
    • sourcrates
    • By sourcrates 4th Jul 18, 9:54 AM
    • 15,245 Posts
    • 14,345 Thanks
    sourcrates
    Hiya,

    Is it best to ask for the F&F in writing then? Iíve probably done everything backwards !!!128584; Iíve phoned up one creditor and paid 50% it was my smallest one though and cancelled my payment with stepchange as Iím now in a position to settle all my debts depending on the figures I get.

    Wescott are handelling my banks/loan/overdraft Iím not sure about barclaycard, next and very though I might just wait for letters to come in for none payment.

    Can I do wescott together or do I have to have 3 settlements?

    Thanks Sarah
    Originally posted by ella2ethan1
    You must obtain settlements in writing before parting with any money.

    The letter must be specifically worded so you are not liable for the remaining balance been chased in the future.

    If you do not obtain this in writing, you leave yourself wide open to future problems.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • Littlebigmoose
    • By Littlebigmoose 7th Jul 18, 5:19 PM
    • 30 Posts
    • 88 Thanks
    Littlebigmoose
    Hello does anyone have any experience with dealing with secure recoveries ltd? They collect for payday loan lender my jar (previously txt loan). They have marked my file with AP markers since 2014. I now owe just under £500 which I can clear by December. I have CCA!!!8217;d & received all paperwork. Currently paying tokens. Is it worth asking for a f&f settlement or requesting them to default me back to 2014? Can you even ask for this? I want to get a mortgage in the future and just want them off my file.
    GOAL: To build savings and be debt free
    1. £1000 Emergency fund challenge- number 270... £10/£1000
    2. 1% Challenge 2018- number 23... 0%
    3. 3-6 month emergency fund challenge- number 92...
    4. Sealed Pot Challenge11 - number 014
    • fatbelly
    • By fatbelly 7th Jul 18, 6:44 PM
    • 12,678 Posts
    • 9,751 Thanks
    fatbelly
    Hello does anyone have any experience with dealing with secure recoveries ltd? They collect for payday loan lender my jar (previously txt loan). They have marked my file with AP markers since 2014. I now owe just under £500 which I can clear by December. I have CCA!!!8217;d & received all paperwork. Currently paying tokens. Is it worth asking for a f&f settlement or requesting them to default me back to 2014? Can you even ask for this? I want to get a mortgage in the future and just want them off my file.
    Originally posted by Littlebigmoose
    Yes, you can do both and you can do them together. Make sure you have the deal in writing before parting with cash

    Keep us updated!
    Last edited by fatbelly; 08-07-2018 at 1:38 PM.
    • Littlebigmoose
    • By Littlebigmoose 8th Jul 18, 1:25 PM
    • 30 Posts
    • 88 Thanks
    Littlebigmoose
    Yes, you can do both and you can do them together. Make sure you have the deal in writing before parting with cash
    Originally posted by fatbelly
    Thank you. Will be writing them a letter with an offer of 30% to start with. Hopefully they accept
    GOAL: To build savings and be debt free
    1. £1000 Emergency fund challenge- number 270... £10/£1000
    2. 1% Challenge 2018- number 23... 0%
    3. 3-6 month emergency fund challenge- number 92...
    4. Sealed Pot Challenge11 - number 014
    • mica2
    • By mica2 19th Jul 18, 1:54 PM
    • 66 Posts
    • 31 Thanks
    mica2
    Hello, newbie to this thread.
    I've got a DMP with Step Change which I've been on for just over a year for debts amounting to approx £19K.
    I confessed to my mum the other day and burst into tears because I was so ashamed telling her. But it was a big weight off. She wants to help clear my debts and said she would give me £20K but I don't want her to use all her money to save me when I got myself into this mess as I know some people manage to pay a lot less than what they owe. I was wondering if I can ask my creditors for a final settlement offer but what percentage is the norm to try first? Also, should I ask Step Change before I approach them, will they offer helpful advice?
    Also, don't know if it will make a difference but I have told them I am currently in a difficult situation as my partner has lost his job so have had payments deferred for 2 months while we sort out a plan.
    Last edited by mica2; 19-07-2018 at 2:00 PM.
    • StokieBecks
    • By StokieBecks 19th Jul 18, 2:34 PM
    • 4,594 Posts
    • 27,757 Thanks
    StokieBecks
    Hello, newbie to this thread.
    I've got a DMP with Step Change which I've been on for just over a year for debts amounting to approx £19K.
    I confessed to my mum the other day and burst into tears because I was so ashamed telling her. But it was a big weight off. She wants to help clear my debts and said she would give me £20K but I don't want her to use all her money to save me when I got myself into this mess as I know some people manage to pay a lot less than what they owe. I was wondering if I can ask my creditors for a final settlement offer but what percentage is the norm to try first? Also, should I ask Step Change before I approach them, will they offer helpful advice?
    Also, don't know if it will make a difference but I have told them I am currently in a difficult situation as my partner has lost his job so have had payments deferred for 2 months while we sort out a plan.
    Originally posted by mica2
    Hi Mica

    Firstly are your debts still with the original lender ? Settlement offers are usually more accepted once a debt has been sold on. Secondly how long would it take to have paid your debs off fully on the DMP (before having to take this enforced break) - a settlement offer is more likely if this would have taken the collector a long time to collect everything outstanding.

    You should speak to step change they may be able to help you negotiate (they will insist though that you treat creditors fairly) - start off low, it is unlikely they will accep straight away but starting low gives some room for movement.

    Get everything in writing - do not accept any offer over the phone without written back up, do not pay any money unti you have it confirmed in writing that the settlement leaves the balance as zero and they wont chase or sell on the remainder.
    • mica2
    • By mica2 19th Jul 18, 4:26 PM
    • 66 Posts
    • 31 Thanks
    mica2
    Hi Mica

    Firstly are your debts still with the original lender ? Settlement offers are usually more accepted once a debt has been sold on. Secondly how long would it take to have paid your debs off fully on the DMP (before having to take this enforced break) - a settlement offer is more likely if this would have taken the collector a long time to collect everything outstanding.

    You should speak to step change they may be able to help you negotiate (they will insist though that you treat creditors fairly) - start off low, it is unlikely they will accep straight away but starting low gives some room for movement.

    Get everything in writing - do not accept any offer over the phone without written back up, do not pay any money unti you have it confirmed in writing that the settlement leaves the balance as zero and they wont chase or sell on the remainder.
    Originally posted by StokieBecks
    Thanks StokieBecks Most of them have been sold on. The amount of time I'd be able to pay them all off is ridicolous, something like 13 years? Thanks for the advice, very helpful!
    • BraLo
    • By BraLo 23rd Jul 18, 9:38 PM
    • 15 Posts
    • 12 Thanks
    BraLo
    Hello!

    Just wanted to post a quick thanks. Been lurking around here for the past day on the advice of someone on the mortgages board.

    I have a DMP worth £12000

    Decided today that I!!!8217;d just ring up and have a blast at negotiating a reduced settlement, see how it goes.

    12 accounts across 5 DCA all settled for the sum of £3100. I haven!!!8217;t paid yet as I wanted each one in writing but upon checking my e-mails it!!!8217;s all there in black and white.

    That!!!8217;s a pretty good settlement if I do say so myself haha...I!!!8217;m just off to do some more cartwheels!
    • fatbelly
    • By fatbelly 23rd Jul 18, 10:36 PM
    • 12,678 Posts
    • 9,751 Thanks
    fatbelly
    Hello!

    Just wanted to post a quick thanks. Been lurking around here for the past day on the advice of someone on the mortgages board.

    I have a DMP worth £12000

    Decided today that I!!!8217;d just ring up and have a blast at negotiating a reduced settlement, see how it goes.

    12 accounts across 5 DCA all settled for the sum of £3100. I haven!!!8217;t paid yet as I wanted each one in writing but upon checking my e-mails it!!!8217;s all there in black and white.

    That!!!8217;s a pretty good settlement if I do say so myself haha...I!!!8217;m just off to do some more cartwheels!
    Originally posted by BraLo
    That's excellent. Might be safest to get the deals confirmed in writing and sent by snail mail
    • BraLo
    • By BraLo 24th Jul 18, 9:12 AM
    • 15 Posts
    • 12 Thanks
    BraLo
    Theyíve put the letters as PDFs on headed paper and emailed them to me as attachments.
    • fatbelly
    • By fatbelly 24th Jul 18, 7:25 PM
    • 12,678 Posts
    • 9,751 Thanks
    fatbelly
    Theyíve put the letters as PDFs on headed paper and emailed them to me as attachments.
    Originally posted by BraLo
    That's OK then
    • LOVEHB
    • By LOVEHB 26th Jul 18, 10:22 AM
    • 33 Posts
    • 25 Thanks
    LOVEHB
    Fingers crossed! X
    I am just starting the process of offering full and final settlement figures, most of my debts except for two (capital one and vanquis) have been sold on to DCAs. Not sure how likely those two will be to accept a lower figure. I am under a DMP with Stepchange!

    I have written to all creditors who have purchased my debt requesting the date they purchased it, how much they purchased it for, if they have access to my CCA docs and the figure owing as of todays date I have requested this info under a SAR although I note im not legally privileged to the purchase price but i figure its worth an ask - I would be curious to know how much they bought the debt for.

    I have around 45% of the total funds I owe due to a family member gifting it to me, I am starting lower than offering 45% so it gives me some wiggle room. I seriously hope I can clear the debts with this money. I am desperate to be debt free and move on with my life.

    It gives me hope seeing everyones success stories and I hope I can join in with the success!
    • carbootcrazy
    • By carbootcrazy 26th Jul 18, 10:51 AM
    • 4,945 Posts
    • 28,132 Thanks
    carbootcrazy
    I am just starting the process of offering full and final settlement figures, most of my debts except for two (capital one and vanquis) have been sold on to DCAs. Not sure how likely those two will be to accept a lower figure. I am under a DMP with Stepchange!

    I have written to all creditors who have purchased my debt requesting the date they purchased it, how much they purchased it for, if they have access to my CCA docs and the figure owing as of todays date I have requested this info under a SAR although I note im not legally privileged to the purchase price but i figure its worth an ask - I would be curious to know how much they bought the debt for.

    I have around 45% of the total funds I owe due to a family member gifting it to me, I am starting lower than offering 45% so it gives me some wiggle room. I seriously hope I can clear the debts with this money. I am desperate to be debt free and move on with my life.

    It gives me hope seeing everyones success stories and I hope I can join in with the success!
    Originally posted by LOVEHB
    Good luck. Let us know of developments.


    My biggest debt (Lloyds, now managed by Wescot but not sold on to them) is the one I would really like to be rid off first. I have now had 3 letters from Wescot telling me that Lloyds have given them permission to negotiate a settlement figure if I would like to phone them to discuss it. I'm not at all happy about doing that as they are only contacting me by letter at the moment after I requested no phone contact. I get easily flustered on the phone. No mention in their letters of even a ballpark figure for the reduction though, it's presumably up to me to go in with a preliminary offer which they will no doubt put to Lloyds who'll laugh their socks off and tell me to try harder


    Is this how these things work? I'm now in a position to start offering F&Fs as I've been paying token payments to all creditors for the best part of a year and have a nice little fighting fund built up. I'm still needing the default date backdated too. All my other debts will fall off my file next spring but this one will be hanging around until late autumn 2019. I was thinking asking for the default change first and then making a settlement offer when that's been done might be the sensible way to do it.
    Last edited by carbootcrazy; 26-07-2018 at 10:54 AM.
    Original Debt: £56804 (@02/13). Now: £9111. Under £10K at long last.
    • January2015
    • By January2015 26th Jul 18, 11:21 AM
    • 2,194 Posts
    • 5,350 Thanks
    January2015
    Good luck. Let us know of developments.


    My biggest debt (Lloyds, now managed by Wescot but not sold on to them) is the one I would really like to be rid off first. I have now had 3 letters from Wescot telling me that Lloyds have given them permission to negotiate a settlement figure if I would like to phone them to discuss it. I'm not at all happy about doing that as they are only contacting me by letter at the moment after I requested no phone contact. I get easily flustered on the phone. No mention in their letters of even a ballpark figure for the reduction though, it's presumably up to me to go in with a preliminary offer which they will no doubt put to Lloyds who'll laugh their socks off and tell me to try harder


    Is this how these things work? I'm now in a position to start offering F&Fs as I've been paying token payments to all creditors for the best part of a year and have a nice little fighting fund built up. I'm still needing the default date backdated too. All my other debts will fall off my file next spring but this one will be hanging around until late autumn 2019. I was thinking asking for the default change first and then making a settlement offer when that's been done might be the sensible way to do it.
    Originally posted by carbootcrazy
    I would go back to Wescot and start with an offer of 20% - noting that it is a gift from a family member to help you clear your debts and is only available to you if it clears the debt in F&F. Also as part of the settlement you would require the default to be backdated to xx/xx/xxxx. Tell them why you believe the existing default date is unfair.

    Worth trying but I would link the default backdate and the settlement offer together. If they want to accept the settlement and be rid of you they may well consider backdating the default to achieve that.

    That's my thoughts anyway
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k I'm driving it down
    £1k emergency fund (member #84) £1k/£1k
    • carbootcrazy
    • By carbootcrazy 26th Jul 18, 11:33 AM
    • 4,945 Posts
    • 28,132 Thanks
    carbootcrazy
    I would go back to Wescot and start with an offer of 20% - noting that it is a gift from a family member to help you clear your debts and is only available to you if it clears the debt in F&F. Also as part of the settlement you would require the default to be backdated to xx/xx/xxxx. Tell them why you believe the existing default date is unfair.

    Worth trying but I would link the default backdate and the settlement offer together. If they want to accept the settlement and be rid of you they may well consider backdating the default to achieve that.

    That's my thoughts anyway
    Originally posted by January2015
    Thanks, January. I never thought of linking default date request and settlement offer. I make things more complicated than they need be. Your idea sounds good.

    I hope things are chugging along happily for you in debtland at the moment
    Original Debt: £56804 (@02/13). Now: £9111. Under £10K at long last.
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