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  • FIRST POST
    • tequilabird
    • By tequilabird 9th Mar 18, 9:38 PM
    • 62Posts
    • 166Thanks
    tequilabird
    Full & Finals
    • #1
    • 9th Mar 18, 9:38 PM
    Full & Finals 9th Mar 18 at 9:38 PM
    So I'm in a position where I have a lump sum of money to pay off my current debt. Firstly, as I'm with SC, do I have to go through them to do this? If not, what sort of figure should I offer each creditor? Is there any way to have defaults removed from credit file before the 6 year period? Looking to buy a new house and pretty sure I won't get a new mortgage with the defaults still there.
    Lightbulb Moment: 18/01/2015
    Current Debt: 31,869.62
    DMP Start Date: 01/09/2015
    DFD: TBC but sooner rather than later, I hope!
Page 1
    • sourcrates
    • By sourcrates 9th Mar 18, 10:07 PM
    • 14,342 Posts
    • 13,536 Thanks
    sourcrates
    • #2
    • 9th Mar 18, 10:07 PM
    • #2
    • 9th Mar 18, 10:07 PM
    Hi,
    Step change will not have the time or resources to negotiate as well as you can yourself.

    Start low, around 30%, you can always increase your offer, you can write or phone them to obtain the best deal, but make 100% sure any deal agreed is backed up in writing before you part with a single penny.

    National debt line have a template letter for just this purpose :

    https://www.nationaldebtline.org/EW/sampleletters/Pages/Full-and-final-settlement-offers-%28sole-name%29.aspx

    You could try to include default removal as part of the deal, but do not expect any of them to agree to this.
    Last edited by sourcrates; 09-03-2018 at 10:50 PM.
    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/
    • tequilabird
    • By tequilabird 12th Mar 18, 3:47 PM
    • 62 Posts
    • 166 Thanks
    tequilabird
    • #3
    • 12th Mar 18, 3:47 PM
    • #3
    • 12th Mar 18, 3:47 PM
    So I have contacted all my creditors with offers. Have had one reply today from Lowell, who rejected my offer and said they would accept 80% of the total. Feeling slightly disheartened about it all now - what should I do? Send a counteroffer?
    Lightbulb Moment: 18/01/2015
    Current Debt: 31,869.62
    DMP Start Date: 01/09/2015
    DFD: TBC but sooner rather than later, I hope!
    • sourcrates
    • By sourcrates 12th Mar 18, 5:20 PM
    • 14,342 Posts
    • 13,536 Thanks
    sourcrates
    • #4
    • 12th Mar 18, 5:20 PM
    • #4
    • 12th Mar 18, 5:20 PM
    Do not fall at the first fence, its all a matter of negotiation, these things take time.

    You have to persuade the creditor you offer represents the best return for them, wait 6 months then try again.
    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/
    • tequilabird
    • By tequilabird 12th Mar 18, 5:55 PM
    • 62 Posts
    • 166 Thanks
    tequilabird
    • #5
    • 12th Mar 18, 5:55 PM
    • #5
    • 12th Mar 18, 5:55 PM
    What happens if some of the creditors come back now and accept my offers? Can I pay these ones off and then leave the others till a later date? I know I should be fair to all of them so is that OK?
    Lightbulb Moment: 18/01/2015
    Current Debt: 31,869.62
    DMP Start Date: 01/09/2015
    DFD: TBC but sooner rather than later, I hope!
    • sourcrates
    • By sourcrates 12th Mar 18, 7:11 PM
    • 14,342 Posts
    • 13,536 Thanks
    sourcrates
    • #6
    • 12th Mar 18, 7:11 PM
    • #6
    • 12th Mar 18, 7:11 PM
    What happens if some of the creditors come back now and accept my offers? Can I pay these ones off and then leave the others till a later date? I know I should be fair to all of them so is that OK?
    Originally posted by tequilabird
    Obviously do what you feel is best, donít turn down a golden opportunity.
    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/
    • remote_control
    • By remote_control 13th Mar 18, 11:44 AM
    • 257 Posts
    • 973 Thanks
    remote_control
    • #7
    • 13th Mar 18, 11:44 AM
    • #7
    • 13th Mar 18, 11:44 AM
    Have a look at Jwil's thread http://forums.moneysavingexpert.com/showthread.php?t=5624384
    • tequilabird
    • By tequilabird 13th Mar 18, 5:21 PM
    • 62 Posts
    • 166 Thanks
    tequilabird
    • #8
    • 13th Mar 18, 5:21 PM
    • #8
    • 13th Mar 18, 5:21 PM
    Thanks - will do! Today I received an email from Wescot - I have 2 debts with them. The email states - Please note; our client will only accept settlements as Partial and not Full and Final. Payment of a partial settlement will result in this account being recorded as !!!8216;partially settled!!!8217; on your credit file. This information will remain on your credit file for 6 years from the date of default. If you are in a position to repay the full balance your credit file would be recorded as fully satisfied for this account.

    Is that OK? I thought I needed them to accept it as F&F?
    Lightbulb Moment: 18/01/2015
    Current Debt: 31,869.62
    DMP Start Date: 01/09/2015
    DFD: TBC but sooner rather than later, I hope!
    • January2015
    • By January2015 13th Mar 18, 5:31 PM
    • 2,095 Posts
    • 5,187 Thanks
    January2015
    • #9
    • 13th Mar 18, 5:31 PM
    • #9
    • 13th Mar 18, 5:31 PM
    Thanks - will do! Today I received an email from Wescot - I have 2 debts with them. The email states - Please note; our client will only accept settlements as Partial and not Full and Final. Payment of a partial settlement will result in this account being recorded as !!!8216;partially settled!!!8217; on your credit file. This information will remain on your credit file for 6 years from the date of default. If you are in a position to repay the full balance your credit file would be recorded as fully satisfied for this account.

    Is that OK? I thought I needed them to accept it as F&F?
    Originally posted by tequilabird
    Full and final is a bit of a misnomer. It is actually Partial and Final settlement. You will be settling for part of the outstanding balance, i.e. making partial settlement, and they will confirm they accept that partial settlement to .... well to settle the account.

    That's normal
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k I'm driving it down
    £1k emergency fund (member #84) £1k/£1k
    [COLOR=Blue][SIZE=2]
    • tequilabird
    • By tequilabird 18th Mar 18, 12:18 PM
    • 62 Posts
    • 166 Thanks
    tequilabird
    Success, albeit one of my smaller debts! Nationwide have agreed to accept £158 for a £635 debt - 25% Other are being less helpful lol.
    Lightbulb Moment: 18/01/2015
    Current Debt: 31,869.62
    DMP Start Date: 01/09/2015
    DFD: TBC but sooner rather than later, I hope!
    • Deep In Debt
    • By Deep In Debt 18th Mar 18, 4:34 PM
    • 8,179 Posts
    • 12,834 Thanks
    Deep In Debt
    I negotiated a lot of my debts for about 40%. It involved a lot of back and forth and quite time consuming but worth it in the end.

    One thing that I did request in my letters to them, was to confirm that they would not sell the remainder of the debt to a third party at a later date and that I would pay them once they had confirmed this in writing to me.
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