Who Will Know About My Bankruptcy Filing?

Many people that come into our office for a debt relief consultation are concerned about the stigma associated with Chapter 7 or Chapter 13 bankruptcy. They are concerned that their friends, relatives and even their employers will know and ultimately treat them differently.

Let us start off with the bad news: San Diego bankruptcy filings are matters of public record. If an individual really wants to know about you, they can go to the bankruptcy court, search the records, pull the files and read your petition. Let us be frank: this NEVER happens. Ok, potentially in 1 out of 1000 bankruptcy cases, but it is not something you should be concerned with.

Next, all your creditors listed in your San Diego bankruptcy must be given notice. There is no way to get around this. Credit card companies, mortgage companies, etc.. The only way a family member or friend would know about your San Diego bankruptcy is 1) if you told them or 2) if they are a creditor. That is about it.

As far as your employer, there is no requirement that the bankruptcy court give he/she notice. So again, the same rule as above applies. But, if you are in a Chapter 13 plan you can elect to have your plan payment taken straight out of your paycheck. In that particular case, your employer, or at least payroll, would know about your San Diego bankruptcy. Only an experienced bankruptcy attorney can advise which election is right for you.

Finally, we will mention one particular case of a client who ran into a friend at the bankruptcy court. In this case, the friend was filing bankruptcy too! You may feel like you are alone in consulting with a bankruptcy attorney about Chapter 7 or Chapter 13 debt relief, but you are not. Times are difficult and we understand that. We will treat your financial situation with the respect and dignity it deserves.

At Thompson | Wedeking, we have helped thousands of individuals with San Diego foreclosure, debt relief and Chapter 7, Chapter 11 and Chapter 13 bankruptcy. Call our office TODAY at 619.615.0767.

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