When you’re considering filing for bankruptcy, there are several factors that can cause hesitation. From the impact it will have on your credit score to the potential for liquidated assets, this is a decision that takes a considerable amount of thought. However, one primary concern you may have regards your employer. Many who want to file for bankruptcy hold off because they are afraid their boss will discover the filing. If this reflects your concerns, you’ll want to keep reading. The following blog explores what you should know about these matters and why working with a Memphis, TN consumer bankruptcy attorney is in your best interest during these matters.
Are Employers Informed About Employee Bankruptcy Filings?
If you are worried about your employer receiving a call or letter informing them of your decision to file, you’ll find that this is not something you need to worry about. Your employer will not be notified about your case. Additionally, you’ll find that you are not required to tell your boss about your decision to file.
It is important to note, however, that your employer may learn about your financial troubles through other means. For example, if your wages are being garnished, it is a clear indication of financial issues. However, if your wage garnishment orders suddenly stop, your employer may be able to figure out that you have filed for bankruptcy, as the automatic stay will prevent the garnishment of wages.
Additionally, bankruptcy cases are public record, so your boss, or anyone else for that matter, may be able to search your name to see if you’ve filed. It’s important to understand, however, that searching these files takes time, and often many will not go through the time and trouble of searching public records just to find out if an employee has filed for bankruptcy.
Can My Employer Fire Me if They Learn I’ve Filed?
In most instances, you may find that your boss is indifferent to your filing, as it does not impact your professional life. They may even show concern, asking if you are okay. In the off-chance they dislike the fact that you’ve filed for bankruptcy, you can rest assured that they cannot fire you over this choice. This is because retaliation for the bankruptcy filing is illegal.
As such, if you are fired, demoted, your pay is reduced, or you are subject to a hostile work environment because of your decision, your boss can face legal issues as a result.
If learning that your boss likely will not discover your bankruptcy filing has helped ease your worries, it’s in your best interest to contact our firm to get started on your case. At the Arnold Law Firm, we understand how difficult these matters can be, which is why it’s in your best interest to connect with our team. Unfortunately, bankruptcy can be complicated, and making an error can have disastrous results. When you need help, our team is here. Contact us today to learn more.
