Debt Settlement with a Full and Final agreement

What is a Full and Final Debt Settlement Order?
A full and final debt settlement order is a way of clearing your debts off in one lump sum at a reduced amount to what you owe. Depending on your circumstances, a full and final debt settlement can reduce your overall debts by up to 80%, meaning that if you owe £10,000 you could end up repaying as little as £2,000 to clear the balance. It is a suitable strategy to clear your debts if you have access to a lump sum of money, maybe through;

• Remortgaging your home
• Using your savings
• A redundancy payout
• Sale of assets
• Inheritance
• Help from friends and family

Why would my creditors accept a Full and Final offer?
Like any business, cash flow is important to creditors, even if they are a major high street bank with billions of pounds of turnover a year, getting the money from you and into their accounts is important to keep a sustainable business going. The advantages for a creditor for to accept a full and final settlement could be;

• Avoiding legal costs
  If you have late or missed payments on your account and your creditors realise you are struggling they will eventually need to pursue legal action to recover the money from you. Legal action is costly and creditors would want to avoid this, so in these circumstances they is a good chance they would accept a full and final settlement.

• Change in circumstances
  If you have a change in circumstances, i.e. you are made redundant or become ill and are unable to work your creditors are more likely to accept a full and final settlement as there is a risk they may not get anything back at all.

• Cash flow
  Some creditors would prefer to receive one lump sum than smaller payments over a longer period of time as it is better for the cash flow of the company. Sometimes it is better to take a loss in return for a faster turnaround on payment.

To estimate how much you could save through a full and final settlement use our free Debt Settlement Calculator. Alternatively speak to one of our experienced advisors free on 0800 043 2027.

Would a full and final settlement affect my credit rating?
The majority of creditors will not put a black mark on your credit file if you are settling the debt, either a partial of full payment. As part of our negotiation process we request your creditors to mark your debts as ‘satisfied’ on your credit file and take stringent measures to ensure they follow though with this. Even if you have entered into an IVA, Debt Management Plan or have missed payments, we will endeavour to ensure your credit file stays intact.

How can I make a Full and Final Settlement Offer?
If you have debts which need clearing and have access to a lump sum writeoffloan.com can help you get a reduced settlement. Even if you owe money to more than one creditor, we can negotiate for you with each one to get you the lowest repayment figure and split it to them evenly, clearing all your debt off in full. All offers to your creditors are done professionally in writing and we aim to settle your case in the quickest time possible.

How much does it cost?
Unlike other companies, we do NOT charge an upfront fee for our services. We work on a no win no fee basis meaning that it will not cost you a penny. If we are successful in reducing your debt we charge 25% of whatever we save you, so if you owe £10,000 and we manage to negotiate a settlement figure of £2,000, our fees would be £2,000, saving you £6,000 in total. Either way, you have nothing to lose and all to gain by letting us negotiate on your behalf. For more information read our Debt Settlement FAQ section here.

What happens if a Creditor does not accept my offer?
There is always a possibility that your creditors will not accept your offer, if this happens we will advise you on the best course of action to take in order to clear your debts effectively. However, Writeoffloan.com has years of experience negotiating on behalf of clients and our success rate is second to none. See our testimonials section here to see how we have helped others.

Can I negotiate myself?
Anyone can attempt to negotiate directly with their creditors but you may find they tend not to take you seriously and you may come across legal problems. Read our guide on the pitfalls of DIY debt settlement before attempting any sort of negotiation.

Call us on 0800 043 2027 and speak to one our experienced or use our Debt Settlement Calculator to estimate how much you could save.

*The settlement figure and percentage saved is entirely dependant on your personal circumstances