Needing to file for bankruptcy can be a difficult decision. You may have hoped that you would be able to find your way out of your circumstances or had several catastrophic events happen at once.
Going through the bankruptcy process can seem invasive as you attempt to prove that you cannot afford to pay some or all of your debts. In addition to your financial records, the analysis of your bankruptcy file could include your social media accounts.
Here’s what you should know about how your social media life could impact your bankruptcy.
Social media is public
With the expansion of social media has come the increase of court decisions on what you can consider private information. Typically, once you post information on social media, the assumption is that you intended for that to be public information.
Although you may have specific security features in place for who can view your social media accounts, once your information is on one of the platforms, you lose control of what happens next. For example, if you post about your upcoming vacation, someone on your friends list can take a screenshot and share that information more publicly.
Trying to verify need
The bankruptcy process is designed to establish that you cannot pay your debt, not that you simply do not want to pay them. Showing your ability (or inability) to pay is why you need to present your financial records for analysis.
In some cases, people post contradicting information on social media, such as:
- Undisclosed side jobs
- Significant assets not listed in your records
- Luxury spending
This contradicting information first leads to questions to verify whether the content of the post is valid. If the information is accurate, it could pose a threat to your bankruptcy claim.