Bankruptcy and your employment
Bankruptcy can affect other jobs in several ways. In some jobs, a record of bankruptcy may lead to dismissal, demotion or other issues. Some professional membership bodies don’t allow undischarged bankrupts to remain members.
If you work in the following industries, you should check whether bankruptcy will have any effect on your job:
- Armed forces
- Cash handling, for example banking, payroll or security
- Financial services, for example accountant, mortgage broker, stock broker or financial advisor
- Law, for example solicitor or legal executive
- Medicine, for example GP or dentist
- Property, for example estate agent, letting agent
- Pub licensee
- Self-employment as a sole trader or partnership
You can check your employment contract to see if it says you can’t go bankrupt. If it does say this, you won’t automatically lose your job.
Ask to speak confidentially to your trade union rep or your employer’s human resources department if you need more advice on how bankruptcy might affect your job.
Many jobs are not affected at all if you go bankrupt. However, with some types of employment bankruptcy can have severe consequences, so it is always important to check first.
Most importantly, don't take any steps towards going bankrupt before taking professional debt advice.
Free bankruptcy advice
Bankruptcy is a big step and there may be more appropriate solutions to your debt problems. Use our online Debt Remedy tool, to identify the best course of action for your individual circumstances. All our advice and services are free and impartial.