Wisconsin Bankruptcy Law

A lot of people out there are looking for work, and perhaps having an individual bankruptcy in Wisconsin on their credit report may not seem like the greatest credential. One of your Wisconsin bankruptcy questions might be how would it affect, if at all, your ability to find a new job. Fortunately, under the bankruptcy code, it is illegal for employers to discriminate against job applicants or employees because they’ve filed for bankruptcy. Hiring decisions can often be subjective and take many factors into consideration, so it may be hard to prove that a worker was turned down for that one reason. To further strengthen employee rights, Wisconsin’s legislature has a bill under consideration that would add credit history to the list of discriminatory employment practices prohibited by state law. Job applicants also have certain additional rights provided by the Fair Credit Reporting Act.

Typically, prospective employers might run a credit check as a condition of employment if a person applies for a job as a bookkeeper, or handles cash, or some such. In general though, more employers are using pre-employment credit reports as part of the hiring process particularly if credit status is job related. One size definitely doesn’t fit all, but some HR professionals suggest that you might put your cards on the table during a job interview depending upon the circumstances. That way, a bankruptcy doesn’t pop up as a surprise in the subsequent background screen. Given the tough economic times, a prospective employer might be willing to cut a worker who has sought debt relief in Wisconsin some slack. A qualified candidate with a strong work performance history who has gone bankrupt may not act as a deal breaker, especially if the bankruptcy was prompted by reasons other than mere financial irresponsibility. Also, job applicants who have wrapped up their bankruptcy case should monitor their credit reports to make sure the information is updated. It may take a couple of months for your credit report to reflect that your various debts have been discharged in the bankruptcy process.

As stated in the previous post, it is not uncommon for things to come up after filing bankruptcy that are easy to deal with as long as you don’t ignore that they are happening.  Creditors may still try to collect debts, your credit rating may be affected incorrectly, or you may find troubles selling or buying a  house if you do not take action after filing to make sure everything is correct with your filing.  If a creditor calls or sends you a bill, do not ignore it or worry that the debt was not included in the bankruptcy.  Instead, contact the creditor and explain that the debt was discharged and ask what documents they need to stop collection efforts.

Bankruptcy laws in Wisconsin affect how your filing is reported on your credit report.  Be sure to keep an eye on it and find out if your debts are noted as being discharged in bankruptcy.  Perhaps you don’t like that notation, but it really is better than having a debt listed as unpaid or delinquent in the long run.  Don’t let clerical mistakes keep you from rebuilding your credit post bankruptcy.

Another common issue that comes up often occurs when someone who files tries to sell and/or buy a new home.  It is true that filing a Chapter 13 bankruptcy in Milwaukee gives you financial relief, and you may be current with your house payments, but if you have a judgments on your record, you may find this process difficult.  Any judgments entered before your case gets file stay on your record.  The important thing to do is to make sure that you get these judgments satisfied after discharge whether you’ve filed a Chapter 7 or a Chapter 13 bankruptcy.  This is an added step to the process, but do not overlook it or wait until there is a looming deadline to take care of it.  Any Wisconsin bankruptcy lawyer can help you with this, but be prepared for it to take a little longer for judgments to get satisfied.

As with anything, even after bankruptcy there can be some bumps in the road.  Don’t panic, and handle these issues with a level head.  These can be very small problems, but if ignored they can turn into more.

One of the biggest problems people come across when they are struggling to pay their bills is that they start to turn to other options when their resources run dry.  Sometimes these other options end up just making things worse.  Some of the most common things that people do that they should really avoid include paying bills with credit cards and taking out pay day loans to get by.  These are the people that turn to bankruptcy in the end, unfortunately after already making matters worse.

Creating new debt to pay off current debt is not the answer.  In fact, it really does just end up making everything worse in the end.  Bankruptcy laws in Wisconsin offer an alternative to the endless stream of debt.  Pay day loans and credit card debt is dischargeable through bankruptcy.  It may be time to consider bankruptcy help in Milwaukee if you find yourself trying to come up with money by creating new debt.  I have been providing help for people in the exact same situations as these for years.  A personal bankruptcy in Milwaukee may be the answer to your financial problems.

When bankruptcy is considered by married couples, the decision may become complicated.  One spouse may want to file, while the other is reluctant to go forward.  It is true that both spouses do not have to file bankruptcy, but many wonder what happens to the non-filing spouse.  Is that person then held responsible for all of their joint debt?

The answer to this question involves a little bankruptcy terminology.  The key words here are hypothetical discharge.  As a firm that works with bankruptcy in Manitowoc, Fond du Lac, Sheboygan, Oshkosh, West Bend, Milwaukee, and Racine, we understand the fact that Wisconsin recognizes community property in marriages greatly affects both spouses in a bankruptcy filing.  Wisconsin bankruptcy information may differ from other states as a result of this.  That is why it is very important to contact a reputable Wisconsin bankruptcy lawyer that understands why the hypothetical discharge applies to non-filing spouses in Wisconsin.

Bankruptcy laws in Wisconsin do offer options to married couples that disagree about the decision to file.  To better understand how this works and to get a better idea of what to do next, consider contacting an attorney today.