Defaulted HSBC O/D, now with 1st Credit

[katr]

Apologies if I've not posted this in the right place.

 

I've been clawing my way out of a financial hole for the past few years and am now in a position where I have one remaining defaulted account on my credit file. The debt relates to a £1000 overdraft with HSBC, which defaulted in Jan 2014 after I ceased paying in 2013 due to financial difficulties.

 

The debt is now under the control of 1st Credit, who have sent me a number of letters, including offers of reduced settlement.

 

I am keen to get this default removed from my credit file if possible and wonder what you think of my chances for negotiating a f&f settlement of 10%, or whether there is any other action I should take before doing this?

 

I have trawled the site and compiled the following letter based on previous posts; if someone could look over it and comment/advise as you see fit then I would be extremely grateful.

 

1st Credit Ltd

 

Without prejudice

 

Dear Sir/Madam

 

Re: Account Reference No:

 

I write with reference to the debt that you claim to be owed on the above account, which is disputed.

 

I am unable to offer to pay the debt in full; however, I can offer the sum of £100.00 in full and final settlement of this account without any admission of liability. This offer is made on the following conditions:

 

1. Neither you, nor any associate company will take any further action to enforce or pursue the alleged debt and that I will be released from any liability.

2. Any remaining balance is not to be sold or assigned to any 3rd party for collection at any time in the future.

3. You will mark all entries on all credit reference agency files relating to the above accounts as "settled" in full. Clearly I do not mean partially settled.

4. You will remove all negative markers and default records within the past payment history on all credit reference agency files.

 

This offer remains open for 7 working days from the date of this letter, your written agreement to the amount and conditions must reach me within 7 working days. Payment can be made within 7 days of receiving your written acceptance.

 

Yours faithfully

[citizenB]

If this account defaulted in 2014, I am sorry to say that even if you were to repay the full amount - that Default would not be removed until it reaches it 6th birthday. So it is going to be with you until at least 2020.

 

The only way it would be removed would be if the marker was incorrectly placed and from what you say, it wasn't.

[katr]

Thanks, citizenB. I knew it would be a long shot anyway but thought I would ask.

 

Is there any benefit at all to making a settlement?

[citizenB]

Thanks, citizenB. I knew it would be a long shot anyway but thought I would ask.

 

Is there any benefit at all to making a settlement?

 

Well if you make the settlement, it will be shown on your credit file that the debt is now no longer, which might help a bit and of course you wouldn't have Debt collectors chasing you or the threat of a claim being issued held over you.

 

I am really sorry that I don't know of a way to help you get shot of the default.. I hate HSBC with a passion, if there was a way, rest assured I would now know about it !

[katr]

True of course. Thanks for your input anyway, citizenB; you've been very helpful.

[dx100uk]

have you all the statements?

 

 

how much of this 'debt' might be PENALTY charges or PPI or merged debts?

 

 

we al know the tricks that HSBC pull in merging CCA debts into an OD .