Credit Card Settlement

[jainjain8396]

Hi Everyone,
My uncle had missed his Axis CC bill around 2 years ago and then he waited for the bank to call and get the late fees etc waived which never happened and he too forgot.
Now recently since past 3-4 months he has been receiving calls from Axis asking to pay the bill which is now 26k and additional 15% as cibil restoring charges. The original bill was around 9k and now the bank is giving 2 options.

1. Pay 26k plus 15% as CIBIL restoring charges saying the cibil will be restored as it is.
2. Settle for 10k.

Please advise what are the consequences of settlement?

I have a friend who did a settlement with SBI last year and he got CC again from SBI. How does settlement impact the cibil/future loan and cc prospects.

Thanks in advance.

 

[V360V360 is verified member.]

Settlement means your CIBIL is screwed forever - so better to pay the full due amount.

 

[Deleted member 11974]

if you settle bank will report to cibil as a defaulter

 

[pothi]

Whatever you decide, please just don't rush for a decision. There must be a pressure, though.

Whatever the decision, keep everything in writing. If anyone calls, ask them to send any query in writing after the call.

26k+ may seem like huge money for some people. But, it is not a crime. It is a civil dispute. No arrest could be done.

Keep patient and decide.

 

[jainjain8396]

Thanks for the responses.

Can anyone highlight what's the impact on future prospects to obtain loans/credit cards if I opt for settlement?