Husband is going to be made redundant and I am unemployed

charri1402

Hi guys. I wonder if anyone out there can give me some tips where to go and who to contact. Unexpectetly my husband is going to be made redundant after 5 years with the company. I am unemployed for about 3 1/2 months but unable to find a job. We have no savings and can not expect any help from the family. Without the monthly income from my husband we aren't able to pay our bills (intrest only mortgage, unsecured loan and bank loan, let alone all the gas, water and electricity bills, council tax, TV licence etc) anymore. I wonder if there is any help out there or would it be best to declare bankruptcy?

katsu

Try going to Citizens Advice for them to help you? You can find out about benefits entitlements on a website called entitledto. I have seen it mentioned on MSE but don't know the full address - maybe google it or check the directgov website?


Also, have a look at the Debt Free Wannabee boards - maybe post there for some advice on the financial aspects of your situation?

Good luck

p00hsticks

You can get advice on what benefits you are entitled to here
http://www.turn2us.org.uk/benefits_search.aspx

I agree with katsu that it's worth posting on the Debt free wannabee board for advice on cutting down your expenditure as far as you can and how to deal with your creditors.

Bear in mind any benefits you might get are only intended to provide a very basic level of support, and certainly won't be enough to cover any existing debt payments you have. You need to get in touch with your creditors to let them go know what's going on - draw up a statement listing your income and outgoings, and offer just a token payment of however much you can afford (even if it's just £1) to any non-critical creditors (such as your unsecured loan and bank loan).

And if necessary set up a new bank account now with a bank you currently have no connection with (check to see whcih banks are linked) that you can get your benefits paid into, to ensure that money paid in doesn't immediately get taken to pay any bank loan arears.

I'm not an expert, but you probably need to hold off going bankrupt for as long as you can, as once done all lines of credit wil lbe closed to you, so you will have to be able to just live off what you have coming in.

zxspeccy

As a previous poster has said it is best to go to Citizens Advices first before making any decisions. There is not enough information in your initial post to make an informed decision, however bankruptcy should be a last resort as you will lose the family home and most other assets you own. My friend went to CAB and they gave him a lot of help with sorting out his debts, and he managed to get some much need breathing space from his creditors. He didn’t find a job for over six months and his debt levels increased, however he still has his home and is managing to cope with the repayments and avoid bankrupcy.

Do you have any insurance on your mortgage? everyone should have life cover but a lot of people have “income protection” insurance as well. So providing you husband is being made “compulsory” redundant he may be able to claim which should buy you a little more time.