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Bankruptcy Lawyer

When I File for Bankruptcy, Should I Inform My Employer?

When I File for Bankruptcy, Should I Inform My Employer?You may be feeling quite alone while going through the bankruptcy process, but more than a million people file for bankruptcy every year. It is a very private process and one that many people tend not to discuss. You may be wondering who you are required to tell about your bankruptcy. You will likely be discussing your financial situation with your partner or spouse, as well as our Los Angeles bankruptcy attorney. However, does your employer also need to know?

When you are struggling financially, you may feel embarrassed or ashamed about your situation, but if creditors have been calling or harassing you at work, it is likely your employer is already aware of your difficulties. Wage garnishment orders can also indicate you are facing serious problems. Filing for bankruptcy does not demonstrate failure on your part; it shows your employer that you are taking control of the situation. As soon as you file for personal bankruptcy, the automatic stay will end creditor harassment, and your workday will no longer be interrupted by those troublesome calls.

Even though filing for bankruptcy can be the responsible choice, you do not have to notify your employer when you file for chapter 7 bankruptcy. However, if you have filed for a chapter 13 bankruptcy and your payment plan includes a wage withholding order or wage garnishment, you may have to discuss this with your employer.

Regardless of whether you choose to notify your employer or not, you are protected by the U.S. Bankruptcy Code from any actions on the part of your employer. In fact, private employers may neither terminate nor discriminate against debtors or anyone associated with an individual who has filed for bankruptcy due to the personal or business bankruptcy.

Contact our bankruptcy lawyer in California to schedule your consultation or to learn more about bankruptcy exemptions and other bankruptcy information that can help you make the best decisions for your situation.

Source: Bankruptcy Lawyer Los Angeles

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