In my twenty years of experience as an Orland Hills bankruptcy lawyer, I recommend Chapter 13 clients go on payroll control as a requirement of a successful Chapter 13 case. In those particular cases, the employer is obviously going to know about the bankruptcy because they are going to have to start to make deductions and forward those deductions to the Chapter 13 trustee as for the debtor’s plan payment. In a Chapter 7 case, most of the time the employer does not need to know about the bankruptcy filing. The exception would be where I had to send proof of the bankruptcy filing to the employer in order to stop a garnishment that is currently pending before the person decided to claim bankruptcy.
A lot of people worry that they are going to be fired if their employer finds out about their bankruptcy. The truth is they are not going to lose their job solely because of the bankruptcy filing. The bankruptcy is federal law and you have the federal right to file bankruptcy under either Chapter 7 or Chapter 13 of the bankruptcy code. Your employer cannot discriminate or fire you solely because you filed for bankruptcy relief. If you find that your employer has committed an act where you feel you were being discriminated against for filing a bankruptcy, you do have rights and bankruptcy options under the bankruptcy code and under federal law to attack those attacks on you.
So rest assured bankruptcy is your federal right. You cannot be terminated or discriminated against based on the fact that you filed for this federal law, federal right and you should notify your employer if you feel that you are being discriminated against by either a supervisor or someone on your staff or a coworker who became aware of your bankruptcy and might be punishing you.Again, Chapter 13 and Chapter 7 are federal rights that you can file for under the US Bankruptcy Code. An employer cannot discriminate against you nor fire you simply because you are having a deduction made for bankruptcy Chapter 13 or you are having a deduction stopped under Chapter 7.
For additional help in seeking bankruptcy relief, contact an attorney in your local area. Just make sure that the attorney has the experience to take care of your case. You can determine that by asking the right questions. If you do not feel that the attorney is being straight with you, move on and meet another attorney. You will eventually find the right professional to assist you.