Who Do I Need to Tell About my Bankruptcy?

Filing for bankruptcy can be embarrassing. Naturally, you probably do not want anybody else to know that you were struggling with debt or that you filed for bankruptcy to manage the debt, even though there is nothing wrong with doing so. You have your right to privacy, but there are certain parties who should know about your bankruptcy.

You have to Tell your Spouse

There is no way around this. When you are married, your financial decisions are generally also your spouse’s financial decisions. Even if the debts are only held in your name, filing for bankruptcy could jeopardize your joint assets.

Even if you feel you can reasonably get away with completing a bankruptcy case without your spouse knowing about it, do not do this. It is dishonest and cruel.

There is No Obligation to Tell your Employer

You do not have to tell your employer or your colleagues that you filed for bankruptcy. In fact, they are not permitted to ask about your credit score or your bankruptcy history.

This does not mean they cannot find out – bankruptcy cases are public record, which means that if an employer or coworker truly wanted to find out if you have a bankruptcy on your record, they can find out.

Consider Telling your Creditors, but you are Not Obligated To

When you are facing regular phone calls from your creditors, the thought of telling them that you plan to file for bankruptcy can be an attractive way to get them to stop calling. Sometimes, this is exactly what happens when an individual tells his or her creditors about an upcoming bankruptcy. In other cases, it just launches the creditors into an even more aggressive collection campaign. You have the choice to disclose your plan to file for bankruptcy to your creditors before you file – once you file, they will be notified anyway. Specifically leaving a creditor off your bankruptcy filing can hurt or even invalidate your case, so do not do that. Talk to your bankruptcy attorney about disclosing your bankruptcy plan to your creditors before you file to get a better sense of whether this is in your best interest.

If you have an Accountant, Tell Him or Her

Tell your accountant if you plan to file for bankruptcy or if you have already done so. Your accountant can advise you about your discharge eligibility and answer your questions about how it can affect your tax return. He or she will also be a helpful liaison between you, your bankruptcy trustee, and the court because you will need to submit previous tax returns as part of your case.

Work with an Experienced Merrillville Bankruptcy Lawyer

When you need legal advice and representation for your bankruptcy case, you need to work with an experienced bankruptcy lawyer. To get started with a bankruptcy lawyer who serves Merrillville and Northwest Indiana, contact Whitten & Whitten to set up your free legal consultation in our office.