Whatever your personal circumstances, promise will work to help find you a financial
solution
Full and Final Settlement of Your Debt
What is a Full and Final Settlement Offer?
A full and final settlement offer is an offer of partial payment to your Creditors in the form of a one off lump sum of money. In return we ask for the remainder of the debt to be written off.
This lump sum of money could be from:
- The sale of assets such as property
- Savings
- Remortgaging your home
- Equity release scheme
- Donations from friends and family
- Redundancy payouts
- An inheritance or lottery win
Would my creditors accept Full and Final settlements?
There are a few reasons why creditors will accept a Full and Final settlement:
- It avoids unnecessary legal expenses for the creditors
- Creditors prefer to receive lump sums of money as opposed to smaller amounts over a longer period
- Depending on your circumstances, your creditors may realize that this maybe the only opportunity they will get in recovering some if not all of the money they are owed
What are the advantages of a Full and Final settlement?
- If your offer is accepted, it would mean that you pay less than the amount owed to your creditors
- Your debt will be paid off sooner than later, leaving you with a fresh start
- Future searches on your credit file will show that your debt is "satisfied" and show that you have successfully dealt with your debt
- A good chance in improving your credit rating
What are the disadvantages of a Full and Final settlement?
- Access to lump sum of funds can be limited
- Creditors may demand that you pay them in full of the amount owed
- There is no guarantee that a creditor will accept your offer
- It will not clear any Defaults or CCJ notices previously applied by your creditors as they will appear and remain on your credit file for 6 years from the date of notice given
How do I make a Full and Final settlement offer?
If you have a lump sum of money speak to one of our specialists on 0844 847 5133 or complete the enquiry form and we will be happy to discuss your situation with you
Your home may be repossessed if you do not keep up repayments on a mortgage or any
other debt secured on it
"The Promise Team were so kind and helpful. I was not afraid to ask questions" Mrs Shemwell, West Yorkshire, Promise Debt Solutions