What happens to debts if I lose my job?

Scotty501_2

Hi All,

I have trawled through lots of pages, but did not find the simple answers.

If I lose my job (redundancy) what happens to Loans and Credit Cards that I have outstanding amounts on - if I can't pay them back?

dzug1

You claim on that PPI that you have unfortunately reclaimed.....

There is alas no simple answer - the bottom line is that you are supposed to keep on paying and if you can't agree an alternative with your creditors as to what you can pay.

The debts do not go away - they have to be managed somehow.

knowledgepower1

Scotty501 wrote: »

Hi All,

I have trawled through lots of pages, but did not find the simple answers.

If I lose my job (redundancy) what happens to Loans and Credit Cards that I have outstanding amounts on - if I can't pay them back?

this kind of question gets me everytime.....RESPONSIBILTY comes to mind!

Uncertain

knowledgepower1 wrote: »

this kind of question gets me everytime.....RESPONSIBILTY comes to mind!

Well, this type of answer gets to me everytime!!!!

You have no possible way of knowing anything about the OP's circumstances! They may well have behaved in a way that any reasonable persion would consider to be prudent and responsible. If the possibility of becoming unemployed was the highest thing in everybody's mind, nobody would ever take on a mortgage.

max2009

Try use your redundancy to pay the debts.

Idiophreak

Uncertain wrote: »

Well, this type of answer gets to me everytime!!!!

You have no possible way of knowing anything about the OP's circumstances! They may well have behaved in a way that any reasonable persion would consider to be prudent and responsible. If the possibility of becoming unemployed was the highest thing in everybody's mind, nobody would ever take on a mortgage.

Sorry to say it, I don't really feel knowledgepower1's contribution was overly helpful, but taking out a loan or credit without giving thought to how you would repay it in the event of redundancy or job loss just *isn't* what any reasonable people would consider either prudent or responsible. If OP had considered this when taking out these debts, they wouldn't be asking the question now?

missymugwump

If you are at real risk of this happening to you
I would suggest you contact the CAB or CCCS who will help you devise a repayment plan that you can afford,in your new situation

Your creditors can persue these debts but it depends on many factors as to what they can do to you

I.e...do you own a home
Do you have any insurance
Do you have dependants
Do you have savings
Other income
Etc... Etc... You need expert advice as this could be very serious for you & your family (if you have one)


Most companies will accept token payments try not to worry, but as there will be a waiting list you need to arrange to get that advice

Good luck

Beta89

Just ignore it for along enough and it goes away.

(Providing you dont own any property or car)



The banks who your creditcard is from eventually just give up and so write it off

storminbalder

knowledgepower1 wrote: »

this kind of question gets me everytime.....RESPONSIBILTY comes to mind!

Ironically enough, I think you will find that it was the irresponsibility of the banks that caused this crisis in the first place!

Idiophreak

storminbalder wrote: »

Ironically enough, I think you will find that it was the irresponsibility of the banks that caused this crisis in the first place!

Lol, yeah...it's all the lenders fault if you borrow you can't repay, isn't it..:rolleyes:

Numpty_Monkey

We'll sort of skip past the PPI
If it was reclaimed, then it would have been mis sold so the chances of claiming on that would not make any difference

The advice toots gives is pretty good:A

Another thing to think about redundancy pay if you get any, is you may have to live of that until you get another job

Pay your priority debts first,, Mortgage/secured loans, utities, housekeeping budget( may need trimming)

If you are struggling call one of these
Non-profit Debt Counsellors' List

And remember most people on MSE will give help:A