Bankruptcy myth: No one will hire me
People often attach an unfortunate social stigma to bankruptcy, which results in numerous misconceptions.
People often attach an unfortunate social stigma to bankruptcy, which results in numerous misconceptions. These falsities can even prevent someone who really should seek this protection from filing, because they fear the “shame” it will bring them.
One way that this has manifested itself recently is in the incorrect perception that if an individual files for bankruptcy, they will have a difficult time changing jobs or beginning a new career. This is patently false. At the vast majority of companies, credit scores are never checked during the recruitment process.
In certain professions, you might have a higher chance of this happening, but you will also receive advance notice if your would-be employer wants to access your credit report. You must grant any entity permission to view your files. Even so, it's highly unlikely that a bankruptcy filing would disqualify you from the position if you are indeed a great fit for the job.
In fact, filing for bankruptcy is the financially responsible thing to do for many individuals. You run the risk of severely damaging your credit by avoiding a filing for too long. While bankruptcy will result in a pre-set dock in your credit score, if you miss several months' worth of payments to a credit card company, you could lose even more points.
If your potential employer does ask about your bankruptcy filing (which is again, highly unlikely), be honest with them and discuss the successes you've had since settling your debts, like rebuilding your credit score or making timely payments.
Minnesota residents considering seeking bankruptcy protection should always consult an expert to determine what the best course of action is. A Twin Cities bankruptcy lawyer can review your case and guide you through the process so you can get back on the road to financial stability.