Am I Bondable If I've Gone Through Bankruptcy?

When employees are bonded, their employer normally gives a list of employees to the bonding company and also must show the bonding company what kind of controls the employer has in place to prevent theft.

The bonding company will often make the employer responsible for obtaining information from the employee as to the employee’s history and whether the employee is a bonding risk. So, your employer may ask (among other things) if you are or have been in bankruptcy. If you have been, they will usually want to know what caused your bankruptcy.

If it was, for example, a marital break-up or over extension of credit, you’ll probably be acceptable for bonding as you wouldn’t be considered a theft risk. On the other hand, if your bankruptcy resulted from theft or some other dishonest or fraudulent act, the employer would need to disclose that to the bonding company and the bonding company will not cover you. If your job requires you to be licensed, or if you’re providing financial advice, acting as an accountant or controller, etc., your financial history is looked at with more scrutiny and you may have to meet a higher standard to be bonded in those positions. The fact that you’re now discharged does help you a bit – it shows the employer and the bonding company that your financial difficulties are now behind you.