What do you need to know about discharge in bankruptcy?

The bankruptcy discharge varies depending on the type of case a debtor files: chapter 7, 11, 12, or 13. Bankruptcy Basics attempts to answer some basic questions about the discharge available to individual debtors under all four chapters including: What is a discharge in bankruptcy?

Can a discharge be denied in a Chapter 7 bankruptcy?

The court will deny a discharge in a later chapter 7 case if the debtor received a discharge under chapter 7 or chapter 11 in a case filed within eight years before the second petition is filed.

Can you discharge debts in a chapter 13 bankruptcy?

A slightly broader discharge of debts is available to a debtor in a chapter 13 case than in a chapter 7 case.

Can a Bankruptcy Court revoke a discharge order?

In chapter 11, 12, and 13 cases, if confirmation of a plan or the discharge is obtained through fraud, the court can revoke the order of confirmation or discharge. May the debtor pay a discharged debt after the bankruptcy case has been concluded? A debtor who has received a discharge may voluntarily repay any discharged debt.

What do you need to know about bankruptcy discharge?

A bankruptcy discharge is a court order issued at the end of a Chapter 7 or Chapter 13 case that relieves you from your obligation to pay a debt. You must complete all the requirements for your bankruptcy case to receive a discharge.

Can a debtor be discharged in a Chapter 7 bankruptcy?

In a chapter 7 case, however, a discharge is only available to individual debtors, not to partnerships or corporations. 11 U.S.C. § 727(a)(1). Although an individual chapter 7 case usually results in a discharge of debts, the right to a discharge is not absolute, and some types of debts are not discharged.

What happens to a chapter 13 bankruptcy case when it is discharged?

Closing a Chapter 13 Bankruptcy Case After Discharge Chapter 13 benefits debtors and creditors because the repayment plan allows the filer to catch up on important debts, such as a late house or car payment. Instead of turning over assets to the trustee to sell, the filer makes regular payments to the Chapter 13 trustee for three to five years.

In chapter 11, 12, and 13 cases, if confirmation of a plan or the discharge is obtained through fraud, the court can revoke the order of confirmation or discharge. May the debtor pay a discharged debt after the bankruptcy case has been concluded? A debtor who has received a discharge may voluntarily repay any discharged debt.