Employment with bankruptcy

[dszweda]

All,

I have a question that is slightly different than the questions offered on this forum regarding this topic.

I am currently employed, but have applied for a senior management position within a company in Florida. I have an impeccable work record. I have gone through 4 interview processes and have actually been flown down to Florida for a full day of interview with the companies board. I filed for bankruptcy (Chapter 13) in Jan-2008 and am still paying into it. It is a 100% payment. I have flawless credit besides this (i.e. no late payments for 7+ years back and no judgements, collections or liens). The reason I filed was that the interest rates skyrocketed as we all remember in 2008 to over 30%, just because I was carrying high balances. I filed bankruptcy because it was getting ridiculous to pay $30K a yr in interest with no principle reduction. I have continued to have fine credit after the bankruptcy.

I have received the customary packet of information that requires me to sign a form for a background check. The job is in IT and I would not be handling any money. The question that I have is should I say anything? I have heard the comments to say something, but I am not even sure it will be a big issue, so should I even bring it up anyway, or will it just create more of an issue. It was a unanimous decision to offer employment and I far exceeded any of the final candidates. My guess is that if bk was a problem, they could overrule the issue. It isn't a huge company (i.e. <1000 employees).

So should I 1) bring it up, or just let it ride out, and 2) do you think it will even be a big issue? I find that most people who are denied are being denied because of a broad company policy, or because they have lots of other deragotory information in their credit besides just a bankruptcy (i.e. liens, judgements, or lots and lots of late payments and such).

[steveok]

Personally, I would let a sleeping dog lie...don't wake it up...if it becomes an issue...address it head on...no need to create any problems...

[free2breathe]

You say it has a form to sign for a background check. Does it mention anything specifically about a credit check? Your bankruptcy doesn't usually show up on a routine background check. If they do run a credit check, they will see that you filed 2 years ago and have no derogatory credit reporting since. I'd say go with the flow, and if they ask, then you explain.

Good luck, and let us know what happens!

[Peeps]

Once upon a time I was a highish-level manager in a big organization. The thing about hiring managers that would be good to keep in the back of your mind: they don't like surprises.

It's very OK to talk about a personal BK. In fact, you could easily turn it to your advantage. You know those questions, "tell me about a time when you had to deal with a significant challenge..." This would be an ideal time to talk about the unexpected financial issues that were outside your control and how it was oh so important to you to find a solution that fit your ethical framework of responsibly paying off your bills (hence the Ch 13) while also solving what was in all practicality, a business issue. You did your research, you weighed your options, and in the end you made the best business decision you could. And then list the successes that have been achieved since... ie, you're back on track, excited about moving forward etc.

All they really want to know is if you can make good decisions, are honest & forthright, and can turn a bad situation into a good one. They know life throws people curve balls. They don't care what the bad situation was. They only care about how you handled it.

If you're not comfortable sharing it with the hiring manager, then it's ok to tell the HR rep. They do keep that stuff quiet. The better job you do at explaining how you turned sh*t into gold, the more likely that HR person will go to bat for you if the background check does include a credit check.

Since you're past the interview stage, the HR rep may be your best bet for disclosure right now. You could just ask if the background check includes pulling a credit report. Heck, even if they don't pull a credit report, they could still find out about the BK by doing a deep web search. They do those a lot nowadays, especially with positions that are higher on the corporate ladder. If you casually mention the '08 BK to the HR person, you'll be proactively covering your bases and, again, can use the moment to show what a fabulous candidate you are. The HR person generally keeps that kind of disclosure quiet, so the hiring manager won't know unless something DOES show up... and in that case the HR rep will note that you proactively disclosed it. No surprises.

I know you'll get a lot of opinions here (which is good) and I'm sure some folks will disagree with the strategy of being open about your BK. I simply want to give you the perspective of a hiring manager who frequently interviewed candidates for high level positions in large organizations. Do with it what you will. Best of luck to you.

PS - if you decide to keep the BK on the hush, then you might consider using Reputation Defender. It can help keep the BK hidden from those perfectly legal, usually undisclosed, deep web searches that companies are routinely conducting these days.

[Flamingo]

The key words in your post are "senior management position." I am uncertain from your posting whether or not you have been offered employment or if it hinges on the results of your background check. When you signed the paperwork for this check, what exactly did the verbiage state in the paragraph? It will state what "checks" will be run. Peeps made an excellent point above - senior management in any company do not lot surprises when it comes to their staff. I am almost positive they will run a credit check on you along with a background check so assume they will learn about your BK. Since you've already had interviews where this could have been discussed, they are going to learn about this after the interviews with you not around. If the situation as it stands now bothers you, it might be best for you to call the HR person you have been dealing with and explain the situation. Or you can wait and see what happens. Tough call but if you let it go and don't get the position you can probably bet it would be due to the background/credit check but you never really know because you don't know who else could also be waiting in the wings.