Many people who are considering bankruptcy worry about how it may impact their career — both their current job and future employment prospects. Will their employer be notified? Can they be fired or demoted for filing bankruptcy? Will bankruptcy hinder their job hunt in the future?
If you are like most people, you can rest assured bankruptcy will likely not have a detrimental impact on your career. Although bankruptcy is a public proceeding, in most cases, your employer will never even find out about it, particularly if you are pursuing Chapter 7. And bankruptcy certainly does not result in an automatic notification of your employer’s payroll.
Even if your current employer does find out that you filed bankruptcy, your employer is not allowed to fire, demote or punish you for it. The law prohibits employers from taking adverse action against employees simply because they filed bankruptcy.
This means you can proceed with confidence knowing that bankruptcy will likely have little or no impact on your current job. However, as in all cases, it is best to consult with a qualified bankruptcy attorney to evaluate the details of your particular situation.
Employment situations frequently change, and few jobs are truly permanent. Before filing bankruptcy, it is important to consider how doing so might impact your future job hunt — even if you do not anticipate leaving your current job.
The law provides protections for those who have filed bankruptcy.
Federal, state and local governments may not take bankruptcy into consideration at all during the hiring process. Private employers, however, may take your credit into account. Some types of positions — such as those involving finances, handling cash or managing expensive merchandise — require good credit scores. And bankruptcy may also impact your eligibility to apply for certain professional licenses.
To learn more about how bankruptcy will affect your career, contact me, attorney Christopher P. Walker. For over 25 years, I have helped individuals strapped with excessive debt determine whether bankruptcy — or some other bankruptcy alternative — can help them attain financial freedom.
Call the Law Office of Christopher P. Walker, P.C., in Anaheim, California, at 714-639-1990. For your convenience, evening appointments are available.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.