The number of bankruptcy filings is soaring. In 2009 more than 1.5 million cases were filed. The number could soon top 2 million as more Americans are turning to the one solution that truly ends their debt problems.


Chances are you probably know someone who filed a bankruptcy but you never had a clue that they did so. Their case wasn’t published in the newspapers. Their creditors didn’t contact you.
If you did know it’s because they told you directly. You might also have suspected something when you observed a change in their behavior. They finally turned their voicemail back on, no longer hid their car, and finally looked well rested.


Their employer also didn’t have a clue. The court didn’t send notice to their job and creditors were prohibited from contacting their employer after their case was filed. Also, by law most employers are prohibited from running a credit report on an existing employee or job applicant.
About the only time an employer finds out is when a client requests that notice be given to the employer, for example, to stop a wage garnishment. Even then, most employers could care less and there are anti-discrimination laws that protect employees who file for bankruptcy.


While it’s true that bankruptcy filings are public record, it’s not that easy to find out about someone’s case. If you’re not an attorney, you’re unlikely to have access to the court’s electronic files. You’re also unlikely to go to the courthouse downtown to pull a case.
So if you’re worrying about someone who knows you finding out… you’re really worrying about something that probably will never happen.