Here is another example of a full and final settlement that has been achieved. In this particular case this is an old Lloyds Banking Group debt that was eventually sold on to CapQuest. The outstanding balance of £9,159 was settled for £2,751 in a full and final settlement.
Funds for a Full and Final Settlement
If you have access to funds via a third party or family friend, then perhaps a debt solution for you would be a full and final settlement. It is also worth noting, if there are funds available, always let the third party or family friend keep hold of the funds until it is time to make payment. Firstly, they will be able to confirm that the funds came from them in the full and final settlement, this will also put the money out of reach from a creditor.
Full and Final Settlement Examples
It is worth searching this site for Full and Final, not only will you see other examples of settlements with creditors, but you will also find useful information should you wish to do your own full and final settlements. It is worth noting though, the less you want to pay in a full and final settlement, the longer the fight to achieve it may take. You could also have a look at this post; Full and Final Achievements, which show more full and final results and also give information on how they were achieved.
Can Anyone do a Full and Final Settlement
Before you consider trying to achieve a full and final settlement, you need to be sure that you have no assets in your name. For example, if you are a property owner and there is some equity in the property, then a full and final settlement would not be the way to go. Remember, even if a debt has been sold on, your financial information will also have been passed over as part of the sale. So therefore the creditor will know that you are a property owner and will have a rough idea how much equity there may be. So from a creditors point of view, they would benefit from securing the outstanding balance against your property. However, having said that, some creditors would be willing to accept a full and final even if you do own a property. It may be worth contacting the creditor and asking them what they would accept as a full and final settlement. You may be please with the amount and be able to settle fairly swiftly.
All Full and Final Settlements Should be in Writing
Remember, when if you are going to attempt to do a full and final, you really need to make sure that all correspondences are in writing. This will ensure that you have a record of the process leading up to the settlement. You will also notice that the more you correspond with a creditor in writing, the less harassment calls you get, so a little bit of peace.
Can a Full and Final Settlement be Done for Me
Yes, you can if you want to nominate someone to act on your behalf, all you need to do is sign a letter of authorisation, allowing them to deal on your behalf. This letter would need to be sent to all the creditors, only then will creditors deal with your nominated person. There are also companies out there that will act on your behalf and do the full and final settlements for you. Remember that a company will charge you for doing a full and final, so make sure you understand how their fees work!
Will a Full and Final Settlement Affect My Credit Score?
A full and final settlement will be recorded on your credit report and may negatively affect your credit score, as it can be seen as a sign that you have not fulfilled your financial obligations in full. However, the specific impact on your credit rating will depend on a range of factors, including the size of the debt, the type of creditor, and your overall credit history. Additionally, it’s worth noting that a full and final settlement can have some positive effects on your credit rating, as it shows that you are taking steps to repay your debts and manage your finances responsibly. Ultimately, the decision to pursue a full and final settlement should be made after careful consideration of all the potential consequences.
You may also be interested in Full and Final Settlement Success Stories.