Possibly redundant at work - lots of debt

waynepyrah

Hi all,

Possibly being made redundant at work shortly... sounds bad but good in the debt side - payout at work would be about a years salary so would allow me to pretty much clear all credit :-D

I have 2 cards on long term payment arrangements (from student days!!) but other than that everything looks good.

Am I best to pay off in full and close or leave a few open or leave a small balance?
want to maybe look at a mortgage i a few years time (im 30 now)

Any tips or advice?
Cheers

DarkConvict

Wow that is good for a redundancy package, legal minimum is weeks pay (£380) * 1 (min) - 20 weeks (max) based on age and years of employment.

As to your debts, consider a F&F offer first to see if you can settle it for less, but ensure it is full and final, not partial settlement.

To keep or close is upto you, but if this is a crossroad on debts for you, i would close the accounts and only get credit again if you really need it.

savingmummy

I would pay them off and become debtfree, then hopefully find another employment (maybe worth looking now) and save!
In the event you don`t pay all, you may waste the money by other means OR be unable to find employment so use your redunancy to live and end up running into debt again!

I would cut up credit cards too or give them to a very close rellie so you can`t have instant access to them x