Case Study 5: One Time Settlement With Credit Clearance

One Time Settlement with credit clearance with a discount of 60% and improved his credit score. Total debt was ₹1,67,933 and settled for ₹70,000

A 35-year-old single male from New Delhi living with his parents, was struggling to pay his EMIs and got himself into a debt trap due to loss of his job. He had eleven loans (seven credit cards & four personal loans) that he was servicing every month. Due to the loss of his job, he struggled to pay his EMI and with a prospect of another job in the horizon he went for a short-term personal loan to tie him over until he was paid his wage.


He applied to CASHe, a smartphone-based app loan provider that offered him a short-term personal loan of ₹1,77,682 with an interest rate of 33% plus charges. He had an outstanding balance of ₹1,67,933 when he contacted us. 

After understanding his circumstance and his financial standing, he had savings of ₹1,70,000, and after checking all his loans, we discovered that the CASHe loan was the largest and was charging the most interest rate. 

We were able to negotiate a 60% discount on a one-time settlement for ₹70,000 with a credit clearance (NOC was issued by CASHe and they agreed that no adverse entry would be registered against this loan), saving him ₹97,933 and improving his credit score.

We were able to obtain a settlement letter with all the terms that we had negotiated and only after our Advocate had checked the authenticity of the bank’s settlement letter then we advised our client to pay CASHe.

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