RESEARCH & LEARN

When Does the Discharge in Bankruptcy Occur?


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TERMINOLOGY

The date a bankruptcy discharge occurs will depend on the specific type of bankruptcy that was filed. If you have filed bankruptcy, it is important to be aware of the exact date the discharge will occur, since this is when you may be able to obtain fresh credit.

Bankruptcy Discharge

Once your bankruptcy is discharged, you are no longer burdened by the debts included in the bankruptcy filing. If you have had trouble obtaining credit since the time of your bankruptcy, the discharge can allow you to qualify for certain types of credit depending on the lender’s guidelines.

Type of Bankruptcy Filed

If you filed for a Chapter 7 or Chapter 11 bankruptcy, the discharge will take place once the bankruptcy court process reconciles the settlement of the debts and assets included in the filing. In most cases the discharge will occur three or four months after the file date with the court.

If you filed for a Chapter 13 bankruptcy, a plan was established that requires you to repay the debts between three to five years. The discharge will occur once the bankruptcy court verifies you have repaid all required debts within the specified period.