Just been made Redundant - help I owe thousands

magicmaria · 16 July 2007 at 8:03PM

Hi

please can someone offer any help or advice I have just been given 90 days notice... I have worked for the company for 9 years 5 months ago i moved to another department this department has now been given 90 days notice as they are moving it abroad. If i had stayed in the other dept i would still have a job. My salary is £28,000.00 and I am a single mum, but I owe thousands in loans and credit cards and I know I won't get another job paying that sort of money. I have read I should be entitled to 9.5 weeks reduandcy pay but on the sites it says this is capped at £310 a week although I earn more.

Should I tell the loan companies/CC now that I might not be able to pay them I am so scared I will lose my home I know I am in shock but I really need some help and advice here,

magicmaria · 16 July 2007 at 8:03PM

p.s. no i dont have loan protection or anything

dmg24 · 16 July 2007 at 8:19PM

Hi Maria,

Sorry to hear your news. Have you posted on the Debt Free Wanabee board? Am sure they will be able to help you on the loan/ credit side of things.

ceridwen · 16 July 2007 at 8:26PM

Hi
Sorry to hear about this - and do hope it wont be long before you've got a new job. One thought - on the loans - could you extend the loan periods if need be - more darn interest to pay overall - but would cut yr monthly payments.

There is a "cap" as you say on redundancy payments - if the firm is only going to pay you the amount required by law - but investigate whether they have their own (more generous) redundancy scheme - thats THE first thing you need to find out. Personally - if I had just been served notice like this - I would go out looking for what work I could do in my spare time to earn myself a bit whilst I was waiting for the "axe" to fall - to help cushion things a bit - and maybe help me towards a money-earner when my notice period was up. Obviously - I can hear everyone else on this forum saying it for me right now - post your SOA (as in "Statement of Affairs") on here and people can see if there is any adjusting of yr budget you can usefully do.
NB Don't forget - you are legally entitled to some paid time off from work to go jobhunting when you've been made redundant (it doesnt have to be restricted to lunchhours/days off/etc).

Best of luck!!

magicmaria · 16 July 2007 at 8:31PM

thank you they told us we would be informed of payments in Sept so a little while to wait yet, I will post my SOA when I clear my head I know where to make the cut backs its just doing it but looks like I havent got a choice now. Whats so annoying is surely they must have known this when i applied for the new job 5 months ago. I don't think they woul extend loans as I won't have an income in 3 months..

stolt · 16 July 2007 at 9:40PM

hi maria, although i can't offer any advice but I think it will show a lot of people how quickly it can all turn around, I wish you all the luck i really do. and must admit caused my heart to flutter as i've just got a 200k mortgage with no protection and after reading your thread i thought about what i would do, and the honest answer is i really don't know, i don't really understand what your going through but i'd assume it's an absolute nightmare. i will have my fingers crossed for you and your family.

LittleVoice · 16 July 2007 at 10:05PM

magicmaria wrote: »

thank you they told us we would be informed of payments in Sept so a little while to wait yet, I will post my SOA when I clear my head I know where to make the cut backs its just doing it but looks like I havent got a choice now. Whats so annoying is surely they must have known this when i applied for the new job 5 months ago. I don't think they woul extend loans as I won't have an income in 3 months..

In 3 months' time you will have an income - though it may not be the £28K/year you currently have. But it may be.

I would not try extending the loan period now but wait until I knew what my actual income is likely to be after the current job ends.

You can also increase your final payment by not taking holiday in the meantime, if that is possible. However, make sure you get a brief break if at all possible between the current job and the next one so that you start the new one as fresh as you can. So if you do take on extra work in the meantime (as suggested in an earlier post), take a break from that immediately before your new job.

Good luck in the job search - make sure everyone knows you are looking for work and knows what sort of work you are good at.

dmg24 · 16 July 2007 at 10:28PM

Whats so annoying is surely they must have known this when i applied for the new job 5 months ago.

Infuriating, isn't it. When I worked in a call centre a new manager was brought in from another area, everybody knew why, but she actually sent out an email stating, 'I am NOT here to close down the department'. Three weeks later, she sent out redundancy notices. Several people had kept the email, and forwarded it back to her. Needless to say, she declined to reply.

On a positive note, everyone did go on to bigger and better things. Am sure that will be the case for you too x

cazziebo · 16 July 2007 at 11:21PM

Good advice here - and you'll get more good advice on the debt free wannabee board. My instinct would be to tell your creditors now, but the good people over there are likely to know which ones will be sympathetic and which ones you might have a fight on your hands with. Posting an SOA now would be good (on the DFW board) because you want to start the moneysaving now.

Why do you think you won't achieve such a good salary somewhere else? DMG's experience has been mine - most people do go onto better things after something like this. Take a couple of days to get used to the idea - it's a terrible shock - and then put the sensible hat on and work out an action plan. You're currently in work and as ceridwen says you are entitled to paid time off right now so the next three months you are in the best position to land a plum job.

Nine and a half years with the one company shows a lot of loyalty - a lot of employers would bite your hand off to get your CV!

Very best of luck - and don't doubt your abilities. It's not you being made redundant it's the job.

magicmaria · 17 July 2007 at 9:50AM

Thank you all so much for your support it means a lot, I have jsut been told (in confidence) I will get 9 weeks at statuary £310 and also 9 weeks at my current weekly pay, so I should go with about £7500. They will also give a maximum of 7 days off during the next 3 months for interviews et.c, and they have said they are bringing in an outside consultant to help get a new job. If I wait untill the end and get my reduandcy pay then I can pay one of my cc off and save £200 a month, so hopefully a drop in salary want be too bad. I dont think I can get the same salary as looking around at Monster.co.uk (who I have jsut signed up with) the most I would get is about £22K and thats travelling to city centre. I can't get a p/t time job on top of this one as I am a single mum, my husband died 4 years ago we had no life insurance (will I ever learn???)I really do appreciate all your support and will keep you all updated over the next 3 months and let you know if I get another job. x

cazziebo · 17 July 2007 at 11:56AM

Very best of luck.

Wee bit of advice - don't delay looking. If the right job comes along now then most employers would wait the three months or however long is left so that you don't lose out.

Just been made Redundant - help I owe thousands

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