What discount does a credit card company give when paying back UK?

Due to unforeseen reasons I fell behind with my loan and credit card payments but have now sold my home and have some money to pay them back. What level of discount should I negotiate for?? I have been told that they would drop as much as 70% is that correct???

Both comments and pings are currently closed.

5 Responses to “What discount does a credit card company give when paying back UK?”

  1. Dr Dee says:

    They might drop a % off the interest, but not the principal.

  2. duncanjfield says:

    when you talk to them, dont tell them how much money you have.

    Tell them that you have been offered £x to clear all your debt by a friend/relative.

    You owe a b & c £1 £2 & £3.

    will they accept …offer 50%…. in full and final settlement?

    I have clients who have negotiated anything from 10% to 35% off the settlement figures.

    It all depends how likely the lender thinks they are to collect the full amount if they hold out.

  3. fargo says:

    I have been offered 25% reduction if I repay my credit card

  4. markiemooshire says:

    Most credit card and loan companies will be happy to take 60p in the £1 (ie could drop as low as 60% of the balance outstanding) but this is usually for people who are behind in their payments and struggling financially as the companies feel it’s better to take 60% than nothing.

    Depending on how far behind you got with your payments you should be able to negociate a very good discount. Additionally if you don’t have enough to pay off the whole settlement figure, you should be able to negociate for them to freeze the interest on the remaining figure meaning that you’re just paying off the balance of what you owe each month which will help you to clear the balance faster.

    It may also be worth keeping a little of the money back and putting in to an instant access savings account so protect you if you ever risk falling behind on your commitments again.

    Good Luck. Don’t be scared to negociate either – you don’t have to accept the first offer these companies give you. As the previous answer said, they will always try and get the maximum money from you so don’t tell them you’ve sold your house, just say you have scraped together xxx amount and that’s all you have and you’ll soon find they will help you if it means getting some of their money back.

    Don’t forget if a company uses the services of a debt collection agency or has to take you to court it cost them money so to negociate to 60% isn’t really costing the company any more than they would expect to lose if they had to resort to this action to chase the debt

  5. julies t says:

    try 10%
    never 70% unless you have a mental illness then they just drop it

Powered by WordPress | Designed by: free css template | Thanks to hostgator coupon and web hosting reviews