Employment and Bankruptcy

[jamist649]

I have applied and been given a conditional offer for a sales job at a retail store. Just a side hustle to supplement my pitiful income! At the office the other day, I signed several pre-employment forms several of which pertained to a background check that will be performed by their corporate office. As I scanned the forms (they were thrown in front of me, sign this, initial here, etc) I read some things about criminal background (no problem), drug use (no problem), employment history (no problem) AND bankruptcy filings (PROBLEM!). I asked the lady interviewing me how extensive the background was because I wanted to tell my references that they may get a call and that it wasn't an identity thief! LOL She told me that they were basically looking for criminal history and driving records due to the use of a company vehicle from time to time. Looking at some of thier other employees (not trying to judge, just being real), I can't imagine them being squeaky clean (credit or otherwise!) and I just curious if this is possibly a generic form. Has anyone here ever been NOT hired due to your bankruptcy filing. I live in NC, which is a right-to-work State which gives your employer the opportunity to kick you to the curb for any reason whatsoever with litle legal recourse, so I'm kind of worried, any thoughts? (please)

[AngelinaCat]

Hi jamist649: Welcome to the Forum. There was a similar question on a different thread and I posted my remarks there, but I'll paste them here too. Good luck to you!

I had an application in at the place I have a PT job with, a community college library, and I had been with them 5 years. I put in for a FT position that became available in April, that I really wanted and with my history and experience thought I had a good shot at. But I didn't get it, it went to a younger man. So, I don't know whether it was my age, 56 next month, or the BK.

[tunskit]

I had a friend who worked for EDS. She was doing network/computer stuff for them. She worked there less than a month before learning she had failed the background screening. She passed EDS's investigation, but not the US Navy's, for whom EDS handles many contracts. She still hasn't learned why she failed (takes up to 36 months to get the explanation), but for her, it was either a DUI that was more than 10 years old (when she was a stupid teenager), or her bankruptcy from 1999.

I doubt BK will affect your job opportunity with a retail store though. However, it could raise your car insurance rates, among other things. Crazy, isn't it? Just because you have bad credit doesn't mean you aren't a safe driver.

[keepmine]

I got a side hustle too {like that wording}. I work overnight on weekends for a Fortune 500 retailer. I signed a statment allowing them to check my credit and background. I got the job. A few months later I got my free credit report and they weren't listed in the inquiry section. Only thing I had to do was the drug test.
A pt job- I dount they'll spend much money on a credit check and if they do, dount it'll influence the hiring decision.

[wtu]

In this day and age with so many people haven fallen victim to foreclosures, high credit card payments, etc, I think it is pretty common to have credit blemishes on your record. I wouldn't sweat about it for a retailer.

Now if you try to get a job at a large bank or financial services firm, then yeah, it might be an issue. However, I have friends who have declared bankruptcy who were still hired to work at American Express, etc...So I guess it all depends.

[TEW]

I had a friend who worked for EDS. She was doing network/computer stuff for them. She worked there less than a month before learning she had failed the background screening. She passed EDS's investigation, but not the US Navy's, for whom EDS handles many contracts. She still hasn't learned why she failed (takes up to 36 months to get the explanation), but for her, it was either a DUI that was more than 10 years old (when she was a stupid teenager), or her bankruptcy from 1999.

I doubt BK will affect your job opportunity with a retail store though. However, it could raise your car insurance rates, among other things. Crazy, isn't it? Just because you have bad credit doesn't mean you aren't a safe driver.

[Flamingo]

Jamist649 - welcome! Note there is a ton of stuff in this forum (do a search) on employment and BK. Basically and as briefly as I can be, a credit check is done on almost every single person when they apply for a job. When you sign the application form and give your SS No., you will see the small print that states that you give them permission to check your background and pull your credit. The problem arises with BK is when you are applying for work where you will be handling or have access to money or accounts in any way, shape or form. Most banks and major financial institutions will not hire people with really bad credit or with BK on their credit reports. It's their policy and they do it for legal purposes to protect themselves and their clients from possible embezzlement of funds. 98% of us who have filed BK know we would not even consider doing anything like that but there are the 2% that do. The way to get around all this is that if you feel you are a shot at the position is to be upfront and honest about your situation before hand. Many people are having tough times now and having to file due to job loss, the economy, etc. You can mention you had to previously file BK due to (your reason) and you are back on the road to recovery and your financial state will not affect your job performance.

While you cannot be fired for filing BK it can be a factor as to getting hired; a prospective employer does not have to hire you but if they don't hire you because they they consider you to be in a certain discriminatory class (i.e., race, religion, age, sex, etc.) that can be an issue if you can prove it. Many companies protect themselves legally as to BK by having BK mentioned in their policies and procedures as to prospective and current employees.

The best thing to do is to be open and honest and do not lie. You should not have a problem. Best of luck to you!