How does filing for bankruptcy affect one's ability to get paid?
How Does Filing Bankruptcy Affect One's Ability to Get Paid?
If you are wondering if you can get a new job after filing for bankruptcy, there are a few factors to consider. For example, filing for bankruptcy can damage your chances of getting a law enforcement job. Since law enforcement jobs typically access highly sensitive materials, your chances of being hired and able to keep it will be lower. Although employers are not able to fire you for filing bankruptcy, they can document other reasons for letting you go and removing access to sensitive materials. Most often, demotion is the result.
Credit reporting
Bankruptcy is a legal process, overseen by the federal bankruptcy courts, that is meant to help people get rid of their debt and start fresh. However, declaring bankruptcy can have an adverse impact on one's credit report for seven to ten years. This can make it difficult to apply for credit or find favorable loan rates.
Bankruptcy will not resolve all debts indiscriminately, so it is important to negotiate with your creditors to settle. For example, if you have unpaid student loans, these will not be discharged in bankruptcy. It is also important to talk to your creditors if you are having trouble making payments.
Chances of getting a job after bankruptcy
If you filed for bankruptcy in the past, you may be wondering how your bankruptcy will affect your job search. The fact is that bankruptcy can stay on your credit report for seven to ten years, so it's possible that employers will find out about your bankruptcy and may be leery about hiring you. Nevertheless, there's no reason to feel ashamed about filing for bankruptcy. Rather, look at it as a responsible step to get back on your feet.
While you can still get a job after bankruptcy, there are a few steps you need to take. First, you need to be honest. Potential employers will ask you about your bankruptcy. They will also ask about your sobriety and medical bills. For example, an accountant might ask you if you've had debt problems because of medical bills.
Repercussions of a bankruptcy discharge
A bankruptcy discharge will have a number of repercussions on the ability of a person to get paid. Creditors who have secured debts can still pursue you for payments despite the bankruptcy. These creditors can pursue the sale of your assets and even the distribution of your income.
Unlike chapter 13, which is for individuals, chapter 11 is for businesses. A trustee takes control of a company during bankruptcy and the creditors must approve the plan of repayment. However, bankruptcy will not remove liens from property. If you have a business, Chapter 11 may be your only option.
If you have any questions, you can get a free consultation with the Best Attorneys in Utah.
Ascent Law LLC:
8833 South Redwood RoadSuite C
West Jordan, UT 84088
(801) 676-5506
