Metropolitan / HSBC Debt - Full & Final settlement offered, they've asked for increased offer

[tee_jay]

Hello again - this is a similar situation to my previous post...I have made a full & final offer to repay approx £1600 to Metropolitan for a default HSBC card debt. The default will 'fall-off' early next year. I have been paying £55 per month. My circumstances have changed and I can no longer afford this so I have offered a reduced payment of £5 per month - or £600 as a Full and final settlement. I used the templates from CAG and advised this will only be paid if my file is marked as settled etc... ...this is their reply... can you guide me on what to do next? I am getting help from family and they may give me a little bit more but not a lot. Should I increase or stick to my guns?

[dx100uk]

tell us about the debt

 

dx

[BRIGADIER2JCS]

Hi perhaps a rephrased offer along the lines of ''if this offer is unacceptable monthly payments will be drastically reduced or completely stopped.''

[tee_jay]

The debt is a credit card default from a few years ago after I was made redundant. The default is from December 2006 and so will drop off my record this December. The original debt was almost £5000 but I have reclaimed unfair charges (not PPI as I didn't have it on this account). I have since paid £55 per month and the debt is now approx. £1600.I'm happy to repay my debts and recognise my responsibilities - the help and support I have had from this site (and others) has been a genuine source of inspiration.

[citizenB]

IMHO, you should simply respond by advising that the original offer is not negotiable. Your offer was the maximum you can afford.

 

They either accept the £600.00 full and final and confirm that they wont pass on any balance or attempt to collect further themselves or they accept the £5.00 per month

 

Perhaps point out that the offer is open for say 14 days, when it will be offered to the next in line on your creditor list.

[tee_jay]

Hello again - so I wrote and offered them a slightly higher (£650) settlement stating this was the maximum I can raise. Now they have replied with this asking for a full income and expenditure breakdown etc.I just want to pay them the settlement OR set up a reduced monthly payment... can you help & advise?many thanksTJ

[citizenB]

They have no right to demand this information. However, I imagine they are unlikely to accept an offer without it.

 

IMHO, they are looking to see if you have paid off other creditors and how much they would be able to deprive you of by way of Instalments if they were not to accept the F&F.

 

Have you made offers to other creditors and have they accepted.

 

If you were to contact them with an I&E, you should not under any circumstances name your other creditors - simply put something like.. Creditor 1 - credit card, Creditor 2, unsecured loan, creditor 3 catalogue, etc.

[PGH7447]

I would simply write back and state the last offer was my final offer, if this is unacceptable then I now propose to pay you £1 a month due to my circumstances being such that the original payment of £55 a month is unsustainable

 

Take it or leave it

 

Regards

 

xxxxx

 

At the end of the day these parasites are only employees of the orignal creditor and have no real power over you

[dx100uk]

what about sending a CCA to these jokers?

if they cant provide one, all you've got to do is wait for it to drop off

 

and you've saved £1600!

 

time to attack me thinks.

 

i'd pers never pay an F&F first without checking they are LEGALLY entitlted to the money.

 

dx

[robcag]

The debt is a credit card default from a few years ago after I was made redundant. The default is from December 2006 and so will drop off my record this December. The original debt was almost £5000 but I have reclaimed unfair charges (not PPI as I didn't have it on this account). I have since paid £55 per month and the debt is now approx. £1600.I'm happy to repay my debts and recognise my responsibilities - the help and support I have had from this site (and others) has been a genuine source of inspiration.

 

Have you still got the original Default Notice issued by HSBC?

 

I had an HSBC credit card upon which they issued a DN to me on 19th Dec 2006 but which was defective due to not allowing the requisite 14 clear days (AFAIR that was the very day that the change from 7 days to 14 days became effective), thereby shooting themselves in the foot.

 

I wouldn't mind betting yours was also defective, which if it was, and you didn't remedy the default situation at the time, would preclude HSBC from successful court action. This could give you some extra leverage

 

Rob

[tee_jay]

Thanks for your replies - I did an SAR some time ago and had a load of stuff sent through so I'll dig that out and take a look. In the meantime I've written back saying my offer is final and time limited. Hopefully they will take it or I pay a reduced monthly amount. the default will fall off my credit file in December anyway.

[42man]

Did HSBC hound you to death on the phone too ?

[tee_jay]

Afternoon all - further to the above string, I have recently been getting numerous calls from DG Solicitors but tell them every timeI will only communicate in writing. The finally caved in and sent this......I am about to write back to advise I am not obliged to provide an income/expediture breakdown. As they have not provided an answer to my offer of settlement yet I will provide them a further two weeks to respond. Failure to respond will result in me setting up a standing order for £5 per month.Is this the correct approach?

[42man]

Have the phone calls stopped ? If not then make sure you record the dates and times they call..... - you might also like to read this too - http://www.consumeractiongroup.co.uk/forum/entry.php?185-The-great-income-and-expenditure-form-debate

[tee_jay]

They haven't called for a few days - fingers crossed they have now stopped. That link didn't work btw.

[42man]

http://www.consumeractiongroup.co.uk/forum/entry.php?185-The-great-income-and-expenditure-form-debate

 

Apologies the above link should work...

[Old Cogger]

Usual HSBC trash, look their Default notices are faulty on most occassions from years ago, you must send CCA request to HSBC via Metro, they move to the next desk to the so Called D,G, non solicitors at the 1st sign of problems like yours for Northampton trail as they do not have to submit a CCA for that route, without haste,. send CCA request immediatly marking on the back of a Postal Order to CCA use only, play around with them at your own peril, so be warned!!

[Old Cogger]

http://www.consumeractiongroup.co.uk/forum/entry.php?185-The-great-income-and-expenditure-form-debate

 

Apologies the above link should work...

 

Not working!!

[tee_jay]

I have the CCA

- I requested this a long time ago and am satisfied the debt is payable.

 

I have no intention on swerving it.

 

My issue now is that I offered a full and final settlement of £600 against a balance of £1600

or I would reduce my monthly payments from £55 to £5 per month due to a change of circumstances.

 

They replied declining the offer and asking for an increased settlement offer.

 

I increased this to £650 and now they are playing letter tennis with me asking for an income/expenditure breakdown before they will accept the reduced payment.

 

They have not yet given me a response to my increased settlement offer.

 

I've now written again giving them 14 days to respond either accepting the full & final offer or giving me account details to set up a S/O for a fiver a month.

 

It falls off my record in February anyway..

 

. you would think they would take the hint!

[42man]

You could possibly write to them saying that you have been hounded with phone calls use the words 'BCOBS' and state that in light of their behaviour etc etc (any excessive charges or PPI ?)

[BRIGADIER2JCS]

Write statingb the following to their Compliance Manager.

Ref:xxxxxxxxxxxxx

 

Dear Sir or Madam,

 

Further to my most generous off of £xxx in Full & Final Settlement of this matter, your demand for an income and ependiture report is denied.

 

The Offer made is one I have seriously considered and believe reasonable, I am generously allowing you a further 7 days to consider my offer after which should you reject this offer I will revert to a payment of £5.00 per calendar month.

 

This Offer is dependant on the following conditions:

1. All adverse data is to be removed from all credit reference files.

2.The remaining balance must not be sold or assigned to any 3rd. party at any time in the future.

3. Your unequivical acceptance of this offer must be received by me within 7 days of the date of this letter and must be in writting.

 

This letter is sent by Royal Mail Recorded Delivery and receipt will be checked, I would suggest your response should be made in the same manner.

[dx100uk]

reduced balance - ignore them

 

its either all penalty charges

or

ppi

or there is no enforceable paperwork

 

end of debt

 

dx

[Bandit127]

Did you send Brig's letter in post #21? If not, then send it now. I suspect you will get a different outcome to your F&F...

 

LOL - you got a spectacular cave in on the monthly payment. Well done.

[citizenB]

Surely they are not permitted to encourage to raise funds from "other sources" ?

[BRIGADIER2JCS]

Surely they are not permitted to encourage to raise funds from "other sources" ?

 

No OFT guidance section 3.7(b) pressuring debtors to raise funds by selling property of taking in further borrowing ( including extending existing borrowing)

Psychological or physical harassment.