Who Will Know I Filed Bankruptcy?

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Bankruptcy Basics Chapter 7 Bankruptcy Questions

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Worried Who Will Find Out About Your Bankruptcy?

Do you worry about who will know that you decided to file bankruptcy? Even though bankruptcy doesn’t carry the same negative connotation it used to, some people still worry that their friends and coworkers will find out.

The good news is, that except for a select few, only the people you choose to tell will likely ever know.

Creditors Will Receive Notice of Your Bankruptcy

Obviously anyone you owe money to at the time you file will be notified. There will be other individuals (that have also filed bankruptcy) and their attorneys in the creditors meeting room during your 341 creditors meeting. Everyone  are there for the same reason you are!

Bankruptcy Court personnel prepare the 341 calendars and have access to information about who is filing bankruptcy. However, in this economy literally hundreds of debtors’ petitions come through in a months time and little if any attention is paid to any one petition filing.

Will Your Employer Find Out About Your Bankruptcy?

If you file a Chapter 13 it is possible your plan payment could be deducted from your paycheck which could alert your employer or the HR department.

See also: Can I be fired for filing bankruptcy?

Even though bankruptcy filings are a matter of public record they are usually not publicized unless the individual filing is a public figure. If you are a politician, lawyer, police officer or have a high profile in your community it is possible to obtain permission to file in another district. Some smaller towns might list monthly or quarterly filings in the same tiny print that birth and divorce announcements are made.

The fact that you filed will be on your credit report for 10 years but you can attach a personal statement to the report which explains the circumstances so anyone reviewing your credit report will have a better understanding of your decision.

Filing for Bankruptcy is a Tough Decision

I realize filing bankruptcy is a tough and sometimes emotional decision. I tell my clients to think about the toll that the current financial burdens is taking on themselves and their families. Getting debt relief and a fresh start in life usually outweighs the fear that someone you know will find out.