When considering filing a personal bankruptcy, some clients are concerned about whether they will be able to get a job in finance, post-bankruptcy. Additionally, some jobs require bonding, which protects the employer against acts of the employee.
You Can’t Be Fired For Filing Bankruptcy
Here’s good news. Your employer is not permitted to fire you simply because you filed for bankruptcy. It’s an illegal act for the employer to do so, and as such, it’s not a concern. In fact, most current employers are not aware you’ve filed bankruptcy unless there was a specific reason to involve them in the filing, which is rare.
Private employers often run credit checks on potential employees. Your experience thus far in your field should tell you whether that is a function of obtaining a job. Individuals who have filed bankruptcy have reported that even in those instances where a credit report was run, the employer sometimes did not ask, and when the employer did ask about the bankruptcy, they were simply looking for an honest answer. If medical bills or credit cards due to loss of income are your reason for filing, you are not along. Employers are typically trying to insure they have an honest candidate.
Some jobs require bonding, so that the employer will be insured against an employee’s negligence or intentional acts. While bankruptcy may prevent you from being bonded in some situations, the federal government offers a bonding program that is available to individuals who have filed bankruptcy. After six months of successful bonding in this program, the employee once again becomes ‘bondable’ in the private sector.
Thinking ahead allows for strategy. Whether it’s a question about paying back family loans, filing a Chapter 7 vs. a Chapter 13, or wondering who will find out about your bankruptcy, I’m here to answer questions. Call me at 704.749.7747 if you need help or guidance.