Is bankruptcy a common problem for job seekers? 2 Answers as of August 26, 2010

I have been informed by several job recruiters that potential employers hardly ever give positions to those who have undergone bankruptcy. Is this true?

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Law Offices of Michael J. Berger
Law Offices of Michael J. Berger | Michael J. Berger
It is illegal for employers to discriminate against job applicants who have filed bankruptcy. By discharging debt, bankruptcy can improve your credit score and over time (typically one year) leave you with a better credit score than you had prior to filing bankruptcy. A year or more after the filing of the bankruptcy, potential employers who check your credit report will typically see a better score than you would have had without the bankruptcy.
Answer Applies to: California
Replied: 8/26/2010
The Law Office of Mark J. Markus
The Law Office of Mark J. Markus | Mark Markus
I cannot answer for everyone, obviously, but some employers do use bankruptcy as a reason to not hire someone, but I have only heard of that being the case for financial type jobs. In the end, nobody has to hire someone for any reason, so it's hard to know exactly why you have not been hired.
Answer Applies to: California
Replied: 8/26/2010
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