DMP - who's accepting what F&F (%)?

[MrPrids]

Hey guys
This is post #1 for me, but I 'know' some of you from reading just a few of the many threads here. And it's a great forum, no question.

So anyway, I have a situation like all of us here (except the experts who presumably (hopefully!) never got themselves into this mess in the first place!

So, I'm 12 mnths into a DMP thru CCCS.
6 mnths ago MBNA called me up and offered to settle c.£17k for £6,600. I offered £5k and they accepted. (obviously, with hindsight I should have offered £3k).
I gather from e.g. David Mond's posts that it's not legally binding but I have their acceptances and in reality there's no way they're coming back. So that was a decent deal.

Are any other creditors settling at around 1/3rd value for the sake of a phone call, either by or to them?

Mine are the usual offenders:
RBS (various)
Egg
Cahoot
M/Stan/Goldfish/Barclaycard

[kallis3]

Hi and welocme.

Did you have anything in writing from MBNA? If it were me I would feel a lot happier if I had an acknowledgment that the debt was now written off. I would most certainly keep the original one which said that they would do that.

As to the others, you can try, they can only say no.

[Adam Davies]

Hi
It is likely that most of the debt has been sold onto third parties who are probably open to an offer.
Are the CCCS aware that you have paid MBNA off ? what did they have to say about this ?
Regards

[MrPrids]

Hi kallis, hi andy
Thx for the rplies. kal you are right of course, they can only say no. I'm not in a position to settle any others which is why I haven't called and asked but I wondered what other people's experiences may have been in this regard.

Also, when I said F&F that's not strictly true, it is of course a partial settlement.

I have both their email proposal and the confirmation letters after the payments were made.

I had 3 c/c's with MBNA, - here's line 1 of their prop email, lines 2&3 were pro-rata the same:

Dear Mr xxxxxxx,

As discussed on your call with Louise on the 18th August the following will be accepted as reduced settlements on your MBNA and Virgin credit cards :


Ac No' ending xxxx - Balance at present is £7082.41 we are prepared to accept a settlement of £2150.00 on this account payment breakdown as follows....

Their letter subsequntly advised:
"Thank you for your payment of £2150 that has been accepted in Partial Settlement of your account. We confirm no action will be taken to recover the remaining balance, and the account will register as a Partial Settlement with the Credit Reference Bureau for 6 years...."

I should add that I didn't have the £5k sitting around to settle this, that came from my poor (and getting poorer!) old mum, but it was too good to pass up I think?

Currently I am considering IVA, but it may not necessarily be the best way to go I guess.

Cheers and have a nice w/end everyone

[MrPrids]

Hi
It is likely that most of the debt has been sold onto third parties who are probably open to an offer.
Are the CCCS aware that you have paid MBNA off ? what did they have to say about this ?
Regards

andy
On this point (and after I'd got mum back up off the floor and committed to saying goodbye to another £5k), I called the CCCS, aware of course that this was 'unfair', effectively to my other creditors and concerned that it could blow the DMP out of the water.

The lady there agreed that it was a very good offer but essentially advised that my other creditors would be aware that I had settled with MBNA because they have access to the data and, that so long as I was prepared for a lot of grief from them (letters/phone calls) that I should if I could go ahead and do it.

I did and, as it happens, not a squeak from any of them since!

[kallis3]

Hi MrPrids,

Glad you've got it in writing - at least they can't come after you now!

As regards an IVA, have you spoken to CCCS or anyone else about doing one?

Obviously it would depend upon how much your debts are and how much disposable income you have.

You could always look on www.iva.com for a list of companies and reviews. They will advise whether an IVA is a viable option for you.

[MrPrids]

Hi again Kal
Yes I'm considering IVA because, incredibly even after the MBNA settlement I still have some considerable way to go to get free!

I've only recently thought about it since the guy at CCCS mentioned it during my 12 mnth review the other day, so only just found you guys and am only now reading and learning about IVA, both pros & cons.

I have had a tel conv with a debt counsellor at one of the 'main' debt advisors listed at iva.com and would, I think be happy to proceed with her if and when I make the decision to go (or try to go) the IVA route..

[kallis3]

Hi,

Dependent upon how long your DMP has to run, then an IVA could be an ideal solution.

At the end of five years (or possibly six if you have your own house and no equity) you could be debt free.