Once the bankruptcy is filed, all of the property of the debtor at the time of filing and certain other property to be received in the future, become the property of the bankruptcy estate. This means that the bankruptcy trustee will take control of this property for purposes of satisfying the creditors. Property or asset exemption is determined based upon a statutory scheme. As discussed above, you are allowed an unlimited exemption on the equity in your home, certain pension and retirement plans, annuities and unmatured life insurance. Unless your employer is a creditor, generally your employer will not be notified of your filing.
Bankruptcy laws prohibit discrimination based upon a debtor filing for bankruptcy protection.
There is no debtor's prison in the United States. However, the debtor cannot recover that amount already garnished by the creditor before the debtor filed for bankruptcy. Depending upon several factors, you may be able to prolong a foreclosure until you have received your discharge from bankruptcy. You may be able to keep your home under a Chapter 13 filing. However, this will only delay the inevitable.