Debt is something that affects South Africans from all walks of life. One of the main factors contributing to debt is job loss. When you lose your job, and you no longer have an income, you will have no way of paying off your debt. However, it is imperative that you take the following factors into consideration:
Notify your credit providers:
- As soon as you lose your source of income, it is advised that you automatically notify your credit providers.
- A redundancy package: When you lose your job, a redundancy package should be given to you.
- Submit an application to the Unemployment Insurance Fund: This will ensure that you are paid a portion of your salary for up to six months.
- Draw up a new budget: Create a new budget and determine what your expenses are and where you can cut costs or entirely eliminate costs.
- Pension Fund: If you have a pension, you are allowed to take this out after redundancy.