Owe my (soon to be) Ex Employer Money

Duggz0r

Many thanks Marcon, very insightful

kazwookie

Is the current employer likely to employ someone else in what will be your old job role?

If so is this person going to need a car? could they have your old lease car? that way there will be no need for the company to return it and you have to pay any fees.

Thrugelmir

If you can afford £250 a month why not arrange a loan to clear the debt? 

Jude57

Duggz0r said:

Thank you guys,

Thankfully reading my contract I don't believe it has a clause to state I consent to them withholding salary so I think I'm safe there.

The company has always been to the point that they have 'money in the bank to cover everyones salary for 18 months', so I'm hoping that could form any defence if required.

Sandtree said:

Only the OP can consider if they can offer more than what they've already put out there... you'd assume the employer doesnt want it going over into the new tax year hence the end of march deadline.

I've said to them that if I were to receive any lump sum, it would certainly be getting used to pay them off sooner, and yes they don't want it going over to the new tax year.

@DuggzOr Just pointing out that how much money a creditor (in this case the former employer) has in the bank is absolutely no defence. Otherwise people would never pay their credit cards, bank loans, mortgages etc.

Also, be aware that the former employer, once they have obtained a County Court Judgment, have a range of recovery options available to them, including Attachment of Earnings. The amount deducted would take account of reasonable living expenses but not any other debts (excepting priority debts like Income Tax, Council Tax, VAT). The Court can enforce the debt in a number of other ways but AofE would be my bet, as it's a guaranteed payment. New employer can't fail to comply but only OP can know how it might affect the new job.

OP, if you haven't already done so, set out your Statement of Affairs (income and expenditure). There's a template in the stickies at the top of the Debt Free Wannabe board. If your employers can see you're treating them fairly, they might agree more time to pay and if it gets to Court you'll need to provide a SOA anyway. 

Finally, I see you've checked your Contract for details of permitted salary deductions but have you checked your Salary Sacrifice agreement for any clause that might override your basic contractual terms?

Duggz0r

kazwookie said:

Is the current employer likely to employ someone else in what will be your old job role?

If so is this person going to need a car? could they have your old lease car? that way there will be no need for the company to return it and you have to pay any fees.

Unfortunately they aren't willing to do this. It was one of the first things I asked.

Thrugelmir said:

If you can afford £250 a month why not arrange a loan to clear the debt? 

Sadly I've not been able to do this either, I've tried literally everywhere.

Jude57 said:

Duggz0r said:

Thank you guys,

Thankfully reading my contract I don't believe it has a clause to state I consent to them withholding salary so I think I'm safe there.

The company has always been to the point that they have 'money in the bank to cover everyones salary for 18 months', so I'm hoping that could form any defence if required.

Sandtree said:

Only the OP can consider if they can offer more than what they've already put out there... you'd assume the employer doesnt want it going over into the new tax year hence the end of march deadline.

I've said to them that if I were to receive any lump sum, it would certainly be getting used to pay them off sooner, and yes they don't want it going over to the new tax year.

@DuggzOr Just pointing out that how much money a creditor (in this case the former employer) has in the bank is absolutely no defence. Otherwise people would never pay their credit cards, bank loans, mortgages etc.

Also, be aware that the former employer, once they have obtained a County Court Judgment, have a range of recovery options available to them, including Attachment of Earnings. The amount deducted would take account of reasonable living expenses but not any other debts (excepting priority debts like Income Tax, Council Tax, VAT). The Court can enforce the debt in a number of other ways but AofE would be my bet, as it's a guaranteed payment. New employer can't fail to comply but only OP can know how it might affect the new job.

OP, if you haven't already done so, set out your Statement of Affairs (income and expenditure). There's a template in the stickies at the top of the Debt Free Wannabe board. If your employers can see you're treating them fairly, they might agree more time to pay and if it gets to Court you'll need to provide a SOA anyway. 

Finally, I see you've checked your Contract for details of permitted salary deductions but have you checked your Salary Sacrifice agreement for any clause that might override your basic contractual terms?

Thanks Jude, and correct it's no defence, I was just clutching at straws.

Thanks to everyone who has contributed, I'm going to keep trying to find the funds, just need to get my worst case lined up.

emmajones1976

Jude57 said:

Also, be aware that the former employer, once they have obtained a County Court Judgment, have a range of recovery options available to them, including Attachment of Earnings. The amount deducted would take account of reasonable living expenses but not any other debts (excepting priority debts like Income Tax, Council Tax, VAT). The Court can enforce the debt in a number of other ways but AofE would be my bet, as it's a guaranteed payment. New employer can't fail to comply but only OP can know how it might affect the new job.

By the time it gets in front of a judge, assuming it got that far, he would have had the thick end of the debt paid off @ £250 a month and surely no authority is going to authorise an AoE on a debt lower than £3k when he is paying £250 a month WILLINGLY off it.

TELLIT01

I don't know if this could happen, but as the employer knows the soon to be ex-employee isn't able/willing to repay immediately could they simply take the final wage as part payment?  Irrespective of whether or not the employee agrees.

ACG

£250 a month will take you 2 years to clear.
If I owned the business you were leaving I would take it to court.  

I am all for being nice and I would be open to some discussion as not everyone has £6k on hand, but I would not be accepting a payment plan over 2 years.

emmajones1976

ACG said:

£250 a month will take you 2 years to clear.
If I owned the business you were leaving I would take it to court.  

I am all for being nice and I would be open to some discussion as not everyone has £6k on hand, but I would not be accepting a payment plan over 2 years.

On the flip side, you cant get blood out of a stone either.

MattMattMattUK

emmajones1976 said:

ACG said:

£250 a month will take you 2 years to clear.
If I owned the business you were leaving I would take it to court.  

I am all for being nice and I would be open to some discussion as not everyone has £6k on hand, but I would not be accepting a payment plan over 2 years.

On the flip side, you cant get blood out of a stone either.

You can't, but you can get a CCJ out of a court, followed by an enforcement notice, then an attachment to earnings.

OP, you say that the new job is absolutely worth it, but that this is going to cost you £6,000, how much extra per year does this new job pay and will be the annual pay?