Law protects you from being discriminated against because of a bankruptcy.
One of the things people often worry about when considering bankruptcy is, “What will happen at my job?” Often times the answer is nothing, but in the event that something does happen, it is almost always very minor. In fact, law protects you from being discriminated against because of a bankruptcy.
In her book Bounce Back From Bankruptcy, Paula Langguth Ryan speaks about the subject. She says, “Your employer will probably never find out that you’ve declared bankruptcy. And if your employer does find out, either because you need a security clearance or your employer needs to run a credit check, your employer will probably support your decision to declare bankruptcy. That’s because once you declare bankruptcy, your mind goes back to getting your job done. In addition, declaring bankruptcy puts an end to collection calls at the office, and your employer won’t have to set up and enforce garnishment of your wages, if your state allows garnishment.”
Your current position will almost never be affected if you have to file for bankruptcy. As mentioned earlier, there are laws in place that protect you. If your employer tries to fire you or demote you due to bankruptcy they would be violating anti-discrimination provisions of the bankruptcy code. The details of this portion of the code can be found in Section 525.
The point is, don’t be afraid to file for bankruptcy because of your current employment position. Most people who file for bankruptcy find out it is a blessing in disguise. Most of your debts are wiped away, so you no longer have to receive embarrassing collection calls at work. Also, you will end up spending less time worrying about your finances and more time worrying about the job you are being paid to do. If you would like to find out more about how much bankruptcy can help you contact a bankruptcy attorney.