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Topic starter
01/05/2012 12:24 pm
Hello,
I am looking for some advice on what to do regarding a potential redundancy payment.
I spoke to my Trustee who advised that they would advise how much of the money they would take on receipt of documentation from my employer of the amount in question.
The person I spoke advised this was normally 50% of any redundancy payment.
Has anyone here experienced this or do you have confirmation this is correct. Also if this is incorrect - who is the best person to get legal advice from in this matter.
Any help appreciated. Am completely gutted that my payment to start a new life will be taken by the trustee.
01/05/2012 1:08 pm
Welcome to the trust deed forum Lorenzo.
Redundancy is an issue that sadly has been discussed here quite a bit recently. I'm sorry that it's affecting you. In terms of redundancy payments our experts have advised that the following will typically be the case:
1 - The statutory element of the redundancy payment will normally be yours to keep to help you survive financially while you seek new work. The statutory part of the payment is the amount your employer must pay you by law.
2 - Additional amounts are usually paid into the trust deed to help repay your creditors. This might be extra amounts due to you because of beneficial clauses in your contract of employment, or due to you as a result of negotiations about the redundancy settlement for example.
When you appointed your trustee to handle your trust deed you made them responsible for collecting "windfalls" that you receive; they have no option other than to look into whether some of your redundancy payment should be used to help repay your creditors I'm afraid. Hopefully retention of the statutory amount will help you to manage OK while seeking new work.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
01/05/2012 3:06 pm
Hi, Lorenzo
I full endorse TDAs comments above.
Chris
Chris is not currently posting in the Trust-Deed.co.uk forum.
Topic starter
01/05/2012 3:45 pm
Thank you for the replies above, much clearer now on where I am.
Dreadful timing ! Thanks Employer !!
