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Originally Posted by Rod1874 Hi All,
I'm new so be gentle!!
I have read a number of the forums and the FAQ's. I have seen "short payment" referred to in a couple of threads. I believe it is entering into an arrangement with the credit card company that they will agree to reduce your debt ( by sometimes a substantial amount ). How does this come about, how do you approach this.
Cheers
Rod. |
Its a long and drawn out affair. Basically when you first get into difficulties in paying back a credit card debt, write or call them to explain your situation. They do get peeved when you dont do this and stick your head in the sand. They should either then work out a manage down on your oustanding debt - stop all interest and late charges and agree and amount to pay every month. If they dont want to play ball with this ask the CCCS to act on your behalf. You will need to give them a full break down of your incoming and outgoings. Mine meant that I was spending more than I earnt every month and they 'had' to accept a token payment of £1.00 pcm. Whilst this was ongoing I approached them and broached the subject of a short settlement, I was going to be lent the money for such a agreement by a family member. They were quite welcoming to this fact after seeing that I had no real assests they could take, and it would of taken years to pay the total amount over £1.00pcm! They would rather get a portion of the money now than next to nothing over time.
BUT whilst 1 bank has been very helpful with this another has only said it will accept 90% of the debt in short settlement which to me is no use at all
"Short Payment" what is it? 
