Buchanan Clark & Wells Agree Full & Final Settlement
This debt was actually settled with Buchanan Clark & Wells who were collecting on behalf of Barclays Bank.
This is certainly a fantastic start to the New Year for one person!
“Barclays Bank: Loan Account
Balance: £16,348.72 (As provided by the bank to BCW)
Thank you for your recent communication re above forwarded to us by our agents which included an up-to-date Financial Statement. I am pleased to inform you that our clients have decided to accept this offer of £5022.00 Fall and Final Settlement of this account on the condition that the same funds reach BCW Group within 14 days. Please note our address has changed some time ago and if funds are sent by cheque please send to BCW Group 24 George Square Glasgow G2 1EG. If payment is made on-line please use the bank details previously forwarded to …. please quote your reference number on all communications and payments.
Direct Line: 0845 300 6890″
How Much will Debt Collectors Settle for UK
So as you can see this person saved over £11,000 as a result of doing a full and final settlement. I am sure that the full and final settlement could have been even low, with some more hard work. The problem with full and final settlements, is that the lower the settlement figure that you want to achieve, the bigger the fight you have on your hands! You may also be interest in this post to see how much creditors will settle for in a full and final settlement.
How Much Will Debt Collectors Settle For?
The age of a debt can help to get a good reduced settlement figure, the older the debt is, the less you have to fight to get a good low settlement figure. Remember, with older debts, they may have been sold on a number of times at only pennies in the pound. Therefore, a fairly low settlement offer, could mean that the debt company are still making a good profit from purchasing the debt. It is always advisable to show on an income and expenditure, that there are insufficient funds each month to make monthly payments. If you don’t have any assets, then this will also help you to get a much lower settlement.
Owning a Property and Full and Final Settlement
If you have any assets that the creditor is aware of, then a full and final settlement at a very reduced rate may not work. If your property has any equity, then a creditor may find it more beneficial to try and get the full amount owed, via your property or any other assets that you may have. So if you do have a property, it may be best to steer clear of a full and final. Having said that though, you could just ask what they would accept as a full and final settlement. Make sure this is done in
Full and Final Settlement and Credit Rating
The impact of a full and final settlement on an individual’s credit rating can vary depending on a multitude of factors. While settling a debt may seem like a positive step, it may not always lead to an improvement in one’s credit score. For instance, if the settlement involves a substantial write-off of the debt, it may be seen as a negative event by credit reporting agencies, resulting in a drop in the individual’s credit score. Moreover, the timing of the settlement can also play a role, as recent settlements may have a more significant impact on one’s credit rating than older ones. Additionally, the type of debt being settled and the individual’s credit history can also affect the outcome. For instance, settling a high-value mortgage debt may have a more significant impact than settling a lower value credit card debt. Ultimately, the impact of a full and final settlement on an individual’s credit rating is not straightforward and can be influenced by various complex factors.
Sample Letters to Creditors
If you are looking to dealing with creditors yourself, you may be interested in this post by Johnny Debt; Sample Letters to Creditors.