Question Filing for Bk and my employer is also credit card issuer

[tony2tru]

Hi everyone!

Was wondering if anyone could help me out with this question. I'm about to start the process of filing my Chapter 7. I work for a big credit card issuer, who happens to be a credit card company I plan to include in BK. Can I lose my job if they find out I have filed BK and included my account? Or can they garnish my wages?

I've been with the company for the past year, but have had my credit card for over 8 years prior.

Thanks in advance for any info. I've been kind of stressed out about the situation.

Tony

[lrprn]

I work for a big credit card issuer, who happens to be a credit card company I plan to include in BK. Can I lose my job if they find out I have filed BK and included my account?

It's against the law to be fired solely because you filed bankrutpcy, even against your own employer. However, unfortunately it's easy enough to manufacture some legitimate reason to let you go. It all depends on the ethics of your particular credit card company.

Or can they garnish my wages?

If you file Ch 7 and the case is discharged and closed, then any money owed on this credit card and others will be wiped out in full. Your employer cannot go after the money through a garnishment - that's a direct violation of bk law.

[Flamingo]

You don't state what level employee you are with the company; do you have an employment contract or just a hiring letter and a company policy booklet/pamphlet? If you are under contract, review your contract for any clauses in the event you file bankruptcy. Many higher ups have clauses in their employment contracts that indicate you have to inform your employer if you file. If you just have an employment letter from your employer stating your salary, etc., you are an "at will" employee and that means they can let you go and you can leave yourself for any reason whatsoever. They are not allowed to fire you just because you filed bankruptcy but if they do fire you you would have to prove that that was the reason. May be difficult to do. Also, review your employee handbook or company policy for any indication as to employees and bankruptcy just in case something is mentioned.

If you have been at the company a while and this bothers you terribly, you can consult with someone in HR about your situation to get a feel about it as to your company; note that any conversation is confidential and cannot be used against you in any way. Or you can just ride the whole thing out and see what happens.

[mdabcdefg]

I don't believe they can fire you for filing bankruptcy. You know how human corruption is though. They can "make/find" a reason to get rid of you some way or another. Your boss very well won't even find out.

[tony2tru]

Thanks for the responses everyone. I am in a salaried, non-management role. I work in a department completely unrelated to credit cards. I signed an employment letter when I was hired so I assume I'm "at will". I've stopped payments on all my credit cards except for this one. I figure I'll just ride it out and see what happens. I need the Chapter 7 filing regardless.

My company also "acquired" an institution earlier this year whom I have a 2nd mortgage with and also planning to foreclose/surrender so if they don't get me for the credit card or the mortgage I'm defaulting on... I guess I'll be really lucky. I'll let you guys all know how it goes.

[trouble1]

tony2tru - I am in the exact same position as you - work for creditor, etc... Can you please let me know how it went??? Thanks!

[ravs]

No, it is against federal law to discriminate against someone for filing bankruptcy, even if your employer has issued your credit card.

[JimKutkowski]

No, it is against federal law to discriminate against someone for filing bankruptcy, even if your employer has issued your credit card.

Not so fast. This is a financial institution. Talk to HR, I'm sure you're not the first employee of a bank that has needed to file BK.

The reason I say not so fast is that you may be looking at sensitive financial documents and financial distress such as BK may make them consider you a risk.