How could sequestration affect my job?

  • John Baird -
  • 3rd November 2017 -
  • 2 minutes to read

In many cases sequestration doesn’t affect a person’s job, and you may be able to carry on working with no adverse effects on your current or future employment situation. But because sequestration is a serious step to take, it’s worthwhile checking your employment contract for any clause relating to debt or bankruptcy prior to becoming sequestrated.

There are certain lines of work that will be affected by sequestration, however, and could result in the termination of your employment contract. In general, these areas include:

  • Financial services
  • Legal sector
  • Police force
  • Prison service
  • Armed forces
  • Gambling industry

With regard to the legal sector and financial professions such as accountancy and auditing, the fact that these are highly regulated industries and require the individual to be licensed, often results in being barred from practice by their professional body.

Will your employer find out about your sequestration?

There’s always a chance your employer will find out that you’ve been sequestrated because it’s a matter of public record. Details of all sequestrations are held in the Register of Insolvencies, which can be publicly viewed, and if you work in the previously-mentioned industries, one of your employer’s procedures might be to search the register periodically.

If you don’t work under an employment contract, or sequestration isn’t mentioned, you may want to ask your HR department about the rules in confidence, or to seek independent advice privately.

It’s worth remembering that other roles and offices may also be out of reach once you’ve entered sequestration, including:

  • Company director
  • Charity trustee
  • Member of Parliament
  • Justice of the Peace

One factor to be aware of is that, if your employer knows about your sequestration and you’re able to remain an employee, they may decide to amend or limit your job roles within the business.

Is self-employment affected by sequestration?

If you’re self-employed or a sole trader, the trustee will assess whether or not you can continue to trade – if your business is able to provide an income that can be used towards your sequestration payments, it’s likely that you’ll be allowed to carry on.

One factor that can affect your ability to operate efficiently, however, is whether you can obtain credit if you need it from suppliers, as you’re expected to inform them of your bankruptcy.

Additionally, if you change your name in the future, in the interests of transparency you’re obliged to inform anyone you do business with of your name when you were sequestrated.

Scotland Debt Solutions has been helping Scottish residents to escape debt since 1989. If you’re worried about how sequestration might affect your job, call one of the team to arrange a free same-day meeting.

John Baird
John Baird

Why Choose Us

Speak Direct With
Speak Direct With
A Qualified Adviser
We Dont Operate
We Dont Operate
Call Centres
5 Offices in Scotland
5 Offices in Scotland
National Coverage
Ask us About
Ask us About
We Do Home Visits
Fully Regulated Advisors
Fully Regulated Advisors
From a Reputable Firm
Helping Scots Get
Helping Scots Get
Out of Debt Since 1989

We'll give you a call

Our Scottish based team can help advise you on your debt problems.

When should we call?
Can we leave a message?
Here at Scotland Debt Solutions we take your privacy seriously and will only use your personal information to contact you with regards to your enquiry. We will not use your information for marketing purposes. See our Privacy Policy.

Useful Tools

Personalised Debt Report

Personalised Debt Report

Our personalised debt report will help you better understand your financial position and see where your money is going.

Free Scheduled Call

Free Scheduled Call

 Arrange a call with an expert advisor at a time to suit you.

Find a Local Office

Find a Local Office

We have five offices located across Scotland. Find your nearest one here.

Close Menu Share with a Friend

Send this page to a friend

via Whatsapp via Messenger via Messenger via Email
Make sure you have WhatsApp installed.

Copy link to clipboard