Chapter 13 bankruptcy discharge

The bankruptcy discharge means that a debtor is no longer legally required to pay any of the discharged debts. The discharge is a court order that stops creditors to from taking any form of collection action.

The time that past between the moment you fill for bankruptcy and the moment you receive the discharge varies and it depends of case particularities and the bankruptcy type (ex Chapter 7 bankruptcy).

The court will generally grant a Chapter 13 bankruptcy discharge as soon the debtor complete the Chapter 13 payment plan. The chapter 13 bankruptcy process take between 3 to 5 years so you will have to wait this time period and also you will have to make each payment on time(if you miss a single payment your case may be dismissed).

The bankruptcy court may deny the discharge if you failed to complete “an instructional course concerning financial management”. You can benefit from a exception only if you are incapacitate, in active military duty in combat zone or if the trustee determine that there is no adequate educational programs in your area.

Even though a Chapter 13 bankruptcy discharge is received only after completing all payments required by the court and established in the repayment plan, there are some limited circumstances under which you may ask the court to grant a “hardship discharge” even though you didn’t finish the payment plan. You can receive this “hardship discharge” only if you fail to complete the plan due to circumstances beyond your control.

You also have to be aware that certain debts cannot discharge. The most common types of non dischargeable debts are tax debts, child support debts, alimony, debts for willful and malicious injuries to person or property or fines and penalties owned to the government.

The discharge order may be accessible electronically tough PACER system.