Settlement Discount

So I call the personal loans department for a settlement discount and was shocked by their response.

I owe Nedbank R8 816 and pleading for a settlemnt discount since my account is in arrears by 12 months and I'm currently unemployed. The call centre agent told me that I should pay R9 022. How is that a discount if I should pay more than I owe? Should the amount not be discounted by a certian percentage?