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    • pixie1
    • By pixie1 19th Jan 08, 12:23 PM
    • 1,373Posts
    • 2,665Thanks
    Full And Final Payment Letter Template?
    • #1
    • 19th Jan 08, 12:23 PM
    Full And Final Payment Letter Template? 19th Jan 08 at 12:23 PM
    Does anyone have a really good full and final payment letter template i could use please?

    Also, can you only ask for full and final payment on unsecured debt? I presume so.

    Also if there is anything i should know about asking for this, pro's con's ect please let me know

    Many thanks

    Debt Free At Last!
Page 1
    • fermi
    • By fermi 19th Jan 08, 12:29 PM
    • 39,440 Posts
    • 47,472 Thanks
    • #2
    • 19th Jan 08, 12:29 PM
    • #2
    • 19th Jan 08, 12:29 PM
    There is a detailed factsheet on "Full & Final Settlements" (including a letter) here: fers

    Particularly important is:

    Make sure you keep copies of any letters you send.
    • It is very important to make sure the creditor accepts your full and final settlement offer in writing. Make sure you keep a copy in case there is a dispute which can happen years later.
    • Never send a lump sum payment before the offer is accepted.
    • It is a good idea to get a third party such as a friend or relative to send the money on your behalf. This helps your agreement to be more legally binding if the creditor accepts the money via a third party.
    • If you are settling a debt that is large or particularly important, you could have a formal agreement drawn up by a solicitor and signed by you and the creditor. This is not normally necessary.

    Make sure the creditor agrees in writing to change your credit reference file details to show the balance is 'satisfied' and the date. Check this has been done by asking the credit reference agencies for a copy of your credit file.
    I'm a Board Guide on the Debt-Free Wannabe, Bankruptcy, Credit Cards and Loans boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of Board guides are not moderators. If you spot an inappropriate or illegal post then please report it to

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