Concerned somebody will know that you are forced to file for bankruptcy? Nowadays, bankruptcy doesn’t mean something as negative as it used to. In fact, it is the most preferred form of debt relief that choose million of people per year However, some individuals feel stressed thinking about friends and colleagues future attitude after this happens.
The bright side is, that except for a select few, only you decide whom to tell about bankruptcy and others will hardly ever find it out.
Who will know?
Apparently, your loaners will be informed at the time you file for bankruptcy. It is natural since this process is intended to reduce your debts. Bankruptcy filings are not publicized unless you are a public figure like a politician, for example.
In terms of job, only your employer directly or HR department can find out about your bankruptcy. But this happens only in a situation, when your plan payment are deducted from your paycheck. The law also protects your rights and prohibits both public and private employers from firing you just because you filed for bankruptcy.
Who won’t know?
Your family members, friends and colleagues or any other person. It may happen only if you have a loan with any of individual and there is a prove in a written form signed by both parties. Otherwise, the court does not inform your family or friends.
Of course, this is a public procedure, but filing for bankruptcy demands lots of paper documents and there’s a tiny possibility that someone will be interested in your particular deed among hundreds of others.
I realize, that this is a very important step in a person’r life, so it’s important to know all the facts and have clear expectations.