# MBNA Debt Question



## Glan (15 Feb 2011)

We ran in some difficulty last year financially and ran up a huge debt with MBNA.  Our current balance is €13,500.  Anyway the good news is we are in a position to pay this off in full now.  Do they do settlements i.e. take €13,000 in full and final settlement without it affecting my credit rating.  Just wondering what the best approach is for me.
Thanks


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## Michael3 (15 Feb 2011)

Why dont you call and ask them - can't harm if you ask. But if you can afford to pay it off in full and are not in financial difficulty you should really pay what you owe them.


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## horusd (15 Feb 2011)

If you missed payments on your credit card, these will appear on your credit report with the credit bureau. If you have the money to settle the debt in full, why should MBNA agree to a lower amount?


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## hollacia (15 Feb 2011)

I've heard MBNA do take lower payments. They take less because they have received enough in interest off the majority of people. Definitely ring and tell them you have €13000 you are willing to pay off the card - no harm in asking


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## scarednow (15 Feb 2011)

If I was you I would ring them and ask the question. You have nothing to lose. Unfortunately, every time a question like this is asked, the moral issue comes into play, but if I was you I would settle for as little as possible (although you may need to demonstrate an inability to pay for them to agree) and try to claw back the budget cuts (if you are affected)that we have experienced in the last 2/3 years and will experience in the next 2/3 years (and beyond?). Dog eat dog world out there....

Good luck with whatever you decide


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## johnnygman (15 Feb 2011)

If you think your creditfile is already damaged might be worth getting a credit report to check this. 
If that is the case go for a short settlement, moral hazard? serously. 
What are the banks doing right now with their creditors? They are writing down the value of their bonds, short settling if you will. No one talks about that in terms of moral hazzard.
MBNA and many other banks have charged penal interest rates for years and have also been guilty and fined for over charging customers in the past.
You are within your rights to try and get the best deal for yourself, use your head don't charge in and tell them you have €13k in your hand, your position should be that you may be able to raise (funds) IF a suitable short settlement could be negotiated......


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## justasking2 (15 Feb 2011)

A friend of mine in a simalar postion with MBNA, they owed €6k and MBNA took a settlement of €2,500. Has affected their credit rating but they already had effected credit due to missed payment them anyway. Person they spoke to  said about the effect on credit rating " You and half the Country" . Make sure you get a full and final settlement letter in agreement from them before you pay the balance.  Good Luck.


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