job offer and background check

[wrigley1976]

I verbally accepted a sales position in Denver.
This is pending my background check. Should I be nervous about the Ch13 showing up?

[magyar123]

Yes - if the job involves anything having to do with finances, directly or indirectly.

[Flamingo]

They will do a background check (criminal) and a credit check. If the job involves you having to be bonded, handling account information or having access to account information, handling checks or cash or having access to company account information where you handle generating accounts or paying bills, you may have an issue.

[chloe0724]

Did you disclose it and give an explanation?

[justbroke]

Generally, they can't deny you just because of your Bankruptcy. However, in a position in financial services or where you have fiduciary responsibility, they can deny you because of Bankruptcy.

In a situation if they have you and another guy to chose from as the best qualified candidate (both equal on paper and in interview), they'll deny you, using the Bankruptcy as a tie-breaker.

Other than that, you won't get any job in Banking, Financial Services, cash accounting, etc, as others mentioned.

If they ask about it, be truthful. Right now, most people would understand... but that may be a non-starter for certain jobs.

I know people who work for bank of America (old MBNA division in Wilmington), who say that if their credit card is ONE payment past due, they are subject to disciplinary action!

[bear30044]

I am curious as to why you cannot become a Police Officer if you filed bankruptcy. Does filing mean you are a bad person?

[justbroke]

I am curious as to why you cannot become a Police Officer if you filed bankruptcy. Does filing mean you are a bad person?

Most jobs of trust require that you have met all your obligations.

Failure to pay creditors, means you didn't meet your obligations and is a question of character. A credit score is a quick way for a Police Department (Municipality) to determine if you're responsible. After all, it's an objective measure of you keeping your promise.

Of course, there are extenuating circumstances, like heavy medical bills.

A police officer, banker, politician, should all be beyond reproach.

[alicias108]

They can NOT discriminate against you because of a bankruptcy. It's against the law.

"No. 11 U.S.C. sec. 525 prohibits governmental units and private employers from discriminating against you because you filed a bankruptcy petition or because you failed to pay a dischargeable debt."

However, they can make up something else entirely as a reason not to hire you. Truthfully, I think it's a bunch of bull. Credit checks should have nothing to do with employment.

[justbroke]

"No. 11 U.S.C. sec. 525 prohibits governmental units and private employers from discriminating against you because you filed a bankruptcy petition or because you failed to pay a dischargeable debt."

That's an oversimplification and doesn't keep the keyword "solely" in it!!!

I like it better when people post the actual code... because the lack of one word (or the addition of an additional word) totally treats it differently.

You can be discriminated against, but not solely because you filed Bankruptcy! It can be a combination of things which includes your being in active or having been discharged from Bankruptcy.

11 U.S.C. 525 (b) No private employer may terminate the employment of, or discriminate with respect to employment against, an individual who is or has been a debtor under this title, a debtor or bankrupt under the Bankruptcy Act, or an individual associated with such debtor or bankrupt, solely because such debtor or bankrupt...

[alicias108]

..which is why I said they would probably just make up something else entirely as a reason not to hire you.

[magyar123]

No one will tell you that you weren't hired because you filed or have bad credit, are African American, Hispanic, anything other than white, skinny or fluffy. Those would be discriminatory reasons.
Companies will just tell you that they offered the job to a "more qualified" individual. And they don't have to prove it.

[Flamingo]

They can NOT discriminate against you because of a bankruptcy. It's against the law.

"No. 11 U.S.C. sec. 525 prohibits governmental units and private employers from discriminating against you because you filed a bankruptcy petition or because you failed to pay a dischargeable debt."

However, they can make up something else entirely as a reason not to hire you. Truthfully, I think it's a bunch of bull. Credit checks should have nothing to do with employment.

Banks and finance companies will usually clearly advise you that they will run a credit check and that if you have bad credit or BK on your records, you may not be hired. They are protected legally in that respect via company policy and other legal documentation because they do not want to hire anyone that could pose a risk to their clients or embezzle funds. They believe that people with bad credit or in BK would be more in a position to do that than someone with good credit. The above quoted section protects someone who is already employed and filed BK; your employer cannot fire you specifically for filing bankruptcy. If they do fire you but provide another reason, you would have to prove that it was due to the bankruptcy alone which might be very difficult to do. Bankruptcy can prevent you from getting a job. If one feels it may be an issue, it's always best to be upfront about the situation during an interview especially if it is a financial related job where you have access to accounts/money/checks or online accounts when the background check discussion comes up - it always does. You are usually asked if you have an objection to that or a credit check being run or they will just tell you it is going to be run and that is your moment to speak up if you have any fears.

[alicias108]

Actually..*I* was denied a job due to my credit and they were upfront about this. They told me I was not going to be hired because of my credit. This was for a job in a jewelry store.

They are required by law to do a few things. One is that they are required to send you a copy of the consumer report they looked at when making the decision to deny you the position. They are required to send you this within a VERY limited time frame. It is not discriminatory AT ALL to do this. Because believe me, I researched it thoroughly after it happened. I would have sued if I had had a case.

[WoodSprite]

I got lucky...

Generally speaking, if the job requires security clearance, or access to valuable materials, a BK or a high debt/income ratio can result in you not being hired, since you're considered a security risk.

That said, I was hired in December (when my credit report was an utter disaster) for a job requiring very high security clearance. The background/criminal/credit checking took an entire month, and I was sure it was all over for me. When I received a copy of the paperwork, I was surprised to see that the only purpose of the credit check was to verify my ss#. Dumb luck, carelessness, or a gift from God...I'll take it!

No guarantees, of course, but don't give up hope, Wrigley.

[BROKENN]

Generally speaking, if the job requires security clearance, or access to valuable materials, a BK or a high debt/income ratio can result in you not being hired, since you're considered a security risk.

That said, I was hired in December (when my credit report was an utter disaster) for a job requiring very high security clearance. The background/criminal/credit checking took an entire month, and I was sure it was all over for me. When I received a copy of the paperwork, I was surprised to see that the only purpose of the credit check was to verify my ss#. Dumb luck, carelessness, or a gift from God...I'll take it!

No guarantees, of course, but don't give up hope, Wrigley.

I'm glad to hear that WS! I wondered about the security clearance, as I work for many companies. I know that they could still say no, they can say no for a hundred reasons.... but this made me feel better that it could still be possible.