Partial Settlements

[down but not out]

Hi There,

Been searching the net for some advice and thought I would try here as there some good info already up...

My question is:

I have made Full and Final Settlement offers to my creditors and one agreed to a reduced amount but said although the account would be closed and I would would not owe them any more, the discounted amount will show on my credit file.

I know that the inserts on your credit file normally last for 6 years but when the notice of default is removed from the file will the discounted amount from the settlement also be removed?

I ask this because I defaulted on the account some 3.5 years ago now and was hoping to have a clean slate fairly soon...

Thanks.

[Never-In-Doubt]

Re: Partial Settlements

A default supersedes all other lower entries such as settlements etc. As you're 3.5 years in; then by the time 6 years are up the credit file would be clear totally. If you pay or don't, the same applies. All that will supersede a default is a ccj so yes, in answer to your question, your defaulted entry would change to show settled with "partial settlement" as the indicator and that'd stay the case until the 6yr default expiry date.

Have you seen our F&F templates? Don't pay till you get it in writing - they'll try and skank you!!

[oscar]

Re: Partial Settlements

I would also think that 3.5 years in, if they were going to go for court action / CCJ they would have done so by now. Not so sure I would be offering anything.

[Never-In-Doubt]

Re: Partial Settlements

Agreed but is this the only debt or partial debt?

[down but not out]

Re: Partial Settlements

Thank you for your responses...

The full story is that for the past 3.5 years I have been paying off my creditors (8 of them) through a debt management plan after it all go too much when I lost my job and I didn't have any money to pay them.

Now, with about £10000 left to pay back in March, I decided to make offers in full and final settlement of the accounts under the guidance of the national debt helpline. My family offered some money towards this and after writing twice, 3 creditors have agreed, 1 has refused, 2 are still considering the offer and another I have not heard from.

I am still paying money into my debt management plan and at the rate I am going, should be finished paying the rest off in next year or two but was hoping to pay them less and get it over and done with sooner.

I just wanted clarification on the fact that, if the account was marked as "default" 3.5years ago, then would a partial settlement that I make now also drop off my credit file in 2.5years when the 6 year period from the original "default" is up.

In all honesty I wish I had found and read forums in the past when this first happened as I may have dealt with the situation slightly differently as all my debt was non secured and an accumulation of several years burying my head in the sand.

[swanfan]

Re: Partial Settlements

A default supersedes all other lower entries such as settlements etc. As you're 3.5 years in; then by the time 6 years are up the credit file would be clear totally. If you pay or don't, the same applies. All that will supersede a default is a ccj so yes, in answer to your question, your defaulted entry would change to show settled with "partial settlement" as the indicator and that'd stay the case until the 6yr default expiry date.

Have you seen our F&F templates? Don't pay till you get it in writing - they'll try and skank you!!

Niddy answered above re the default question.

[down but not out]

Re: Partial Settlements

Niddy answered above re the default question.

I know... Thank you.

I just wrote all that in clarification to my situation in case anybody else reading it wanted a better understanding for the reasoning behind my original question. And Niddy also asked whether it was for all the debt of just part of it.

[garlok]

Re: Partial Settlements

Sorry Guys to interject here, But always but always insist upon stringent terms and conditions with F & Fs this is not Statute Law where you can refer to a "book", this is Common Law of Contract and every case stands or falls on its own merits. Its a bit late I would think now but for anyone else looking in seek advice on this subject BEFORE saying anything at all to your creditor unless you know how it works. Advice is here or a legal but remember your local High St sol may not know the case law and inadvertantly mislead you.

regards
Garlok

[Never-In-Doubt]

Re: Partial Settlements

Sorry Guys to interject here, But always but always insist upon stringent terms and conditions with F & Fs this is not Statute Law where you can refer to a "book", this is Common Law of Contract and every case stands or falls on its own merits. Its a bit late I would think now but for anyone else looking in seek advice on this subject BEFORE saying anything at all to your creditor unless you know how it works. Advice is here or a legal but remember your local High St sol may not know the case law and inadvertantly mislead you.

regards
Garlok

We do have a very good F&F offer template with stringent terms, take a mooch :---> F&F Offer in exchange for Default Removal Template