F&F Settlement Help

[Saint2K]

its not quite assimple as offering a settlement and hoping its done.

 

whos to say you pay has the authority to state its dead and the remainder can never be chased.

 

if the debt is still with the OC then you might have a chance

 

if its with a DCA/debt buyer theres no stopping them selling the remainder on and continuing what sadly I suspect

is an on boing cash cowing exercise on many fronts to sadly keep the statute barring date being reset.

 

the last point to remember is you'll stil have to run the gauntlet of the mortgage provider

and their acceptance that the debt 'is' really dead..............

 

eitherway you'll get ripped of and referred to sub prime lenders.

 

hence the comment about if its not on your CRA file...you keep quiet.

 

my neighbour did this

and has now wiped off 74% of the debt he was sweating about that he had

he just kept quiet and didn't tell the mortgage provide

and deal with each one after the deal was signed.

 

he though he owed £27k

 

turned out after all the CCA requests/reclaiming it was actually less than £4k

 

your call

 

dx

 

Thanks for the reply.

 

I appreciate it may perhaps be more tricky when it comes to dealing with DCA and the non legal owners of a debt.

 

However if I approach two of the debt buyers (and I do have notification letters from both the OC)

and they agree to the F&F then they cannot surely pass any debt on to anyone else.

If the legal owner of the debt agrees to the F&F and a third party sends payment

then surely any comeback would be pure folly on the part of the pursuer?

At that stage I'd quite happily fight the issue.

 

Also, I wouldn't plan on telling the mortgage lender, as by the point of application, I would have settled the debts anyway, so there would be no debts to divulge.

 

If I'm correct, the CCA defence is all around the wording on the original CCA document, correct?

 

 

So, I would need to get my hands on the original CCA, let someone on here inspect it,

to cast opinion on whether it's valid, then stop paying the debt, assuming the CCA was deemed invalid,

then what, let the creditor chase me and perhaps risk a court case over whether it's enforceable?

I'm nots sure I want to risk it if I am honest.

 

Here is a question,

if I defaulted on these debts over six years ago, the default drops off my file, but does the account remain on my file?

So will existing and new creditors see these old debts?

If so, the mortgage lender is going to see the debts anyway....

 

When you say your neighbour wiped 74% off his debt,

did he get written confirmation from the DCA, debt owner or OC stating they would no longer pursue the debt or something along those lines?

 

I have exhausted all reclaiming in regards to PPI and charges,

so that only leaves the CCA as a defence not to repay and

as I say, I do owe this money, which is why I felt the F&F was a fair compromise,

I pay a proportion back and for that I then in theory have a clean slate with no further issues.

 

If anything was to rear it's head then I would just refer to the F&F agreement,

which I would ensure is from the OC or the legal owner,

then tell the new pursuer to get lost and at that point I wouldn't at all object to fighting the case in court

as I would be able to demonstrate to the judge that I was debtor with integrity

that had religiously repaid over the past eight years, offered a F&F,

which was accepted and now someone is attempting to pursue for the remainder.

 

The little bit of case law that I have read around this area suggests that if you have a letter confirming F&F from the OC

or debt owner then it is pretty water tight, especially if a third party makes the payment.

 

Also, as this is not disadvantaging myself financially and the family member in question will not feel this loss financially,

I am not really seeing any downsides to proceeding with an F&F.

 

I absolutely would love in some ways not to pay a further penny,

especially considering how I was treated in the early days of the debt collection,

however I'm not sure risking my future home and chances of a property on a CCA argument alone is an acceptable risk.

 

If it is a choice between F&F and CCA, then the way I currently see it is that the F&F would hold more water,

if done correctly, then fighting a debt based on a potentially dodgy CCA.

 

Hope that makes sense and explains my viewpoint - though I'm willing to be convinced otherwise!

[dx100uk]

findout if they HAVE a CCA in any format first.

 

 

typically the CCA 'argument' doesn't fall to 'if' its enforceable

but if it even exists!

 

 

on the debts and Defaults..

the ICO whom govern this say:

All references to a defaulted debt must be removed from your credit files after 6 years

has passed from date of default, whether paid off or not.

.

the WHOLE ACCOUNT WILL VANISH, never to return.

.

[however, this does not mean the debt itself is not still owed

consider a CCA request.]

.

This is so that someone who continues paying something

- even after 6 years from default

- should not be at a disadvantage to someone who pays nothing after default

and ends up with a clean file after 6 years.

[SabreSheep]

When were the credit cards taken out? Before 2007 they will likely need the ORIGINAL to enforce in court.

 

On the credit cards - Any late payments or overlimit fees which if reclaimed with 29.99% Interest in restitution (Compounded interest) might have a significant inpact on the balances outstanding? In some cases people have claimed more than the debt and had the balance wiped. If this happened you could argue for the adverse credit data to be REMOVED entirely.

 

Also bear in mind, settling the debts will not remove them from your credit file. They are there for 6 years form default date regardless

[Saint2K]

Thanks for the replies,

I'll pick up on some of the other questions/points tomorrow when I have chance.

 

The defaults/debts no longer exist on my CRA records,

so paying them off won't improve my credit score,

it would just resolve the outstanding debt.

 

Here is a question for you though....

 

In the F&F letter, it asks the creditor to mark the debt as satisfied/settled and the account closed.

Am I asking for trouble by including this on the F&F letter if the account no longer shows anyway?

 

As in, would it make a reappearance if the original creditor was to update their records?

I don't want to damage my credit rating which is now much repaired and better.

[dx100uk]

debts not on your cra file are dead and gone

in terms of harming you

 

 

the only VERY outside chance is court action

but they'll need a signed and enforceable CCA to do that

the 'debt' itself can never re-appear UNDER ANY CIRCUMSTANCES

once its gone no matter what you do.

 

 

HOWEVER, the relevant CCJ, IF THEY WIN, will show for 6yrs.

 

 

CCA requests and reclaiming are the key BEFORE you do ANYTHING.

 

 

dx

[Saint2K]

debts not on your cra file are dead and gone

in terms of harming you

 

 

the only VERY outside chance is court action

but they'll need a signed and enforceable CCA to do that

the 'debt' itself can never re-appear UNDER ANY CIRCUMSTANCES

once its gone no matter what you do.

 

 

HOWEVER, the relevant CCJ, IF THEY WIN, will show for 6yrs.

 

 

CCA requests and reclaiming are the key BEFORE you do ANYTHING.

 

 

dx

 

Thanks for the reply, so just so I can get my head around the CRA business.

 

If the default was applied in say 2006/2007 it would show on my file as a 'D' or Default at that point.

Then each month thereafter, it would update, so would it show a 'D' each month

or would it show the amount that I was repaying each month,

but the line of credit itself would be recorded as defaulted?

 

So even though I am still repaying these debts to this very day,

which defaulted well over six years ago,

no repayment information whatsoever will be on my credit file for these creditors?

i.e. the Creditors are not reporting this any longer to the CRA

or the CRA are not accepting any reporting from the creditors

because the account defaulted and now six years has passed since that date?

 

Does my question make sense?

I'm trying to get my head around why none of these creditors are on my credit file any longer.

I understand the default dropping off,

but there is still effectively a balance which I am repaying,

so I thought this information could be reported still to the CRA?

[dx100uk]

Thanks for the reply, so just so I can get my head around the CRA business.

 

If the default was applied in say 2006/2007 it would show on my file as a 'D' or Default at that point.

Then each month thereafter, it would update, so would it show a 'D' each month

or would it show the amount that I was repaying each month,

but the line of credit itself would be recorded as defaulted?

 

 

monthly markers have no relation nor influence to the recorded status of DEFAULT

in the summary of the debt.

they DO NOT reset any time counters.

if a sebt does not show

it matters NOT what any DCA/OC reports on it

 

So even though I am still repaying these debts to this very day,

which defaulted well over six years ago,

no repayment information whatsoever will be on my credit file for these creditors?

i.e. the Creditors are not reporting this any longer to the CRA

or the CRA are not accepting any reporting from the creditors

because the account defaulted and now six years has passed since that date?

 

 

CORRECT

 

Does my question make sense?

I'm trying to get my head around why none of these creditors are on my credit file any longer.

I understand the default dropping off,

but there is still effectively a balance which I am repaying,

so I thought this information could be reported still to the CRA?

 

 

post 27 and numerous previous posts refer to the answers you need:

 

 

on the debts and Defaults..

the ICO whom govern this say:

All references to a defaulted debt must be removed from your credit files after 6 years

has passed from date of default, whether paid off or not.

.

the WHOLE ACCOUNT WILL VANISH, never to return.

.

[however, this does not mean the debt itself is not still owed

consider a CCA Request.]

.

This is so that someone who continues paying something

- even after 6 years from default

- should not be at a disadvantage to someone who pays nothing after default

and ends up with a clean file after 6 years.

 

 

there are NO EXECEPTIONS TO THIS.

other than the remote chance of a CCJ

as described above

 

 

DONT CONTINUE TO BE CASH COWED

 

 

dx

[Saint2K]

post 27 and numerous previous posts refer to the answers you need:

 

 

on the debts and Defaults..

the ICO whom govern this say:

All references to a defaulted debt must be removed from your credit files after 6 years

has passed from date of default, whether paid off or not.

.

the WHOLE ACCOUNT WILL VANISH, never to return.

.

[however, this does not mean the debt itself is not still owed

consider a CCA Request.]

.

This is so that someone who continues paying something

- even after 6 years from default

- should not be at a disadvantage to someone who pays nothing after default

and ends up with a clean file after 6 years.

 

 

there are NO EXECEPTIONS TO THIS.

other than the remote chance of a CCJ

as described above

 

 

DONT CONTINUE TO BE CASH COWED

 

 

dx

 

Hi DX.

 

Thanks for the reply, please understand that I am considering all options at the moment and F&F is one of them, though I've not yet committed to a plan of action.

 

If the above is true, then is there any point in including the terms in the F&F letter that the creditor must mark my default as settled if there is no default on my CRA?

[dx100uk]

it wont hurt eitherway

[Saint2K]

it wont hurt eitherway

 

Okay, thanks.

 

Another question, let's say, for arguments sake, I stop paying the creditors, CCA request them and go ahead with the house purchase.

 

I now own my home, with a 65% deposit and the remainder I am paying on a mortgage.

 

If one of the creditors realises I now have an asset, is the only way they can try and claim a stake and/or try to secure the debt against the house to go through the county court and apply for a CCJ?

[oleg]

They could issue a statutory demand.

[Saint2K]

They could issue a statutory demand.

 

Yes, I had thought of that, should be a non issue as my plan of action is to F&F anyway.

 

I was reading the previous F&F offer made by Apex last year (which I couldn't afford at the time so never went ahead), everything seems fine, though I noticed their offer was to update the credit file (if relevant) and mark the account as partially satisfied.

 

Now I know the general advice is to get agreement that the file will be marked as settled in full. However as none of these debts including Apex show on my file - would it really matter any more what we agree in terms of the CRA?

[dx100uk]

obv not.

 

 

they'd need an enforceable CCA to do anything

 

 

best to check those first

[Saint2K]

Hello.

 

I am in the fortunate position to be able to pay off some of my previous creditors in full.

 

What is the best way of doing this, I am thinking a letter explaining I am settling the balance in full, attaching a cheque and asking for a receipt.

 

Would this be the best way to approach the situation?

[f16]

You might be able to do a "deal" with some of them. Don't forget they will have add "charges" to the original balance.

 

How many of them are there ?

How old are they ?

Do you have the statements ? Are there any late payment charges etc ?

[dx100uk]

have you sent each one a CCA request

and investigated PPI/PENALTY charges reclaim?

 

 

FIRST

 

 

dx

[dx100uk]

9th thread you've started since 2009 asking the self same thing

merged with the other 8 you'd already started once every 6mts.

 

 

debated to death already.

 

 

so where are you upto with each of your 'debts'

 

 

dx