lost job web larger

Losing your job or finding yourself ‘between jobs’ is, unsurprisingly, a stressful place to be. Keeping a cool head and taking action is important.

First of all, have you received all the help you can get from elsewhere? State benefits may be limited, but sometimes, being in receipt of them enables you to qualify for more substantial financial help as a result. Also, you might want to make sure you were treated properly by your employer when you were ‘let go’. Sometimes, improper treatment can result in further recompense coming due to you for unfair dismissal, etc.

Many of us have sensibly built up a small nest egg for the proverbial ‘rainy day’ and losing your job probably classifies as a pretty rainy day in most people’s lives. Having such a nest egg can be a relief, but if you are out of work for 6 months or more, that nest egg is unlikely to last long.

Cancel all agreements for non-critical services. Remember, Gym memberships might need notice, so act now. After all, you are going to have time for those morning walks so a gym is most definitely a luxury you can do without! It’s amazing how quickly we all build up a raft of monthly expenses when we are in employment. Be ruthless.

You should contact your lender early. Perhaps you can arrange a mortgage repayment holiday or convert temporarily to paying interest-only?

Of course, the best way to prepare for losing your job is to insure against that risk. This is called mortgage protection insurance. It shouldn’t be confused with the insurance you may have taken out when you first took your mortgage which may have been put in place to protect your lender, not you! Check the details now.

Many mortgage protection policies will pay your mortgage payments for you, although they might require you to be claiming benefits to qualify, or there may be a delay before you are entitled to claim.

What is certain is that losing your job can be very stressful. You’ll cope better knowing your family’s home is protected. Contact us to discuss how we can help put in place a plan for the unthinkable.

For more information contact us or speak to an mortgage adviser on 01628 507477.

 

Download our Free First Time Buyers Guide

Recent posts

Research from buy-to-let lender, Landbay, shows that UK landlords are looking at raising rents ahead of the Renters' Rights Bill which is due to come into force this year.

Data shows landlords could miss out on green mortgages due to expired energy performance certificates.

Buying a house is a big deal, and where you are planning to buy will make a difference financially. In this short blog, we look at the most affordable and most expensive areas and how much you need to be earning to buy in there.

Equity release is a type of mortgage that allows homeowners 55 and over to access money from their property's equity without having to leave their home. This is done by securing a loan against the house which is usually repaid by selling the property when the borrower passes away or has to move into long-term care.

It’s important to ask questions about the property you are interested in before taking that step to make an offer. A little probing can make all the difference between buying your dream house or something that requires a lot of work.

There are millions of homeowners over the age of 60 who are likely to release money from their homes to pay for their lifestyle during retirement giving those who are 'asset rich but cash poor' a way to live out their retirement the way they wish. 

The average age of a first-time buyer in the UK is two years older than 10 years ago. This is understandable with managing the cost-of-living and challenges within the economy such as high interest rates making it difficult to get onto the property ladder.

Skipton Building Society launches ‘Delayed Start’ mortgage meaning first time buyers won’t be required to make repayments for the first three months. 

According to a survey by Skipton, first time buyers who bought their home in the last five years found that in the first three months of living there, they were spending upwards of £30,000.