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Post-paying off mortgage

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I am expecting to be made redundant later this year or early next year. I intend starting my own business afterwards. My initial thought was to pay off my mortage so that my homw is paid for should I run into financial difficulty.

However, I have read that, should my business fail and I have to live on jobseekers allowance and/or benefits once JSA is finished, thet mortgage pay off could be viewed us my having disposed of funds, and my claim being rejected.

Obviously I am hoping the business will work out, but I am looking beyond that. It seems logical to protect your home, but it seems if I do I may get punished later on.

Can anyone advise/clarify this situation? Is there a timescale - so if it all happened within 6 months would it be disallowed, but if it happened after 6 month allowed? The uncertainly worries me.

Thanks.

Comments

  • newgirly
    newgirly Posts: 9,334 Forumite
    Part of the Furniture 1,000 Posts Mortgage-free Glee! Name Dropper
    Hi, it may worth posting this question on the benefits board for advice. Best of luck with the new business though :)
    MFW 67 - Finally mortgage free! 💙😁
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