Settlement of outstanding loan

I had an account with Atlas Finance which i failed to keep up with payments due to salary cuts during Covid 19 lockdown. Financially it has been very difficult and now that i am trying to get my finances up to date i requested a settlement ammount but my settlement ammount is more than what i owe. My balance on my credit report shows R3270 i asked for discount settlement ammount but was told that i do not qualify for a discount and the ammount is far more that i must pay. Why should this be?