Discharge From Bankruptcy

A first-time bankrupt is automatically released, or granted a discharge from bankruptcy, at nine or twenty one months after filing bankruptcy unless a creditor, the trustee, or the Superintendent of Bankruptcy objects. There is no court hearing if you are granted an automatic discharge. The trustee will send you a copy of the discharge. A second time bankruptcy is eligible for a discharge from bankruptcy at twenty four or thirty six months.  If you have been bankrupt more than twice, or if your automatic discharge is opposed, the Trustee applies to the court for your discharge. You will be advised by the trustee to appear in court for the hearing. The trustee informs the court of the circumstances surrounding your bankruptcy at the hearing. The creditors can also address the court. The court will set conditions you must meet before you are discharged from bankruptcy.

Certain Aspects May Delay Your Discharge from Bankruptcy

These include:

• Failure to make required payments from income to the trustee.
• Failure to submit monthly income and expense statements.
• Failure to provide the trustee with information to complete income tax returns.
• Failure to attend first meetings of creditors and required counseling sessions.
• Objection to your discharge by a creditor or Superintendent of Bankruptcy.

A discharge from bankruptcy does not release you from the following debts:

• Alimony, maintenance and child support.
• Court fines and penalties.
• Debts obtained through fraud.
• Student loans, if you have been a student in the seven years prior to your bankruptcy

Other special circumstances:

• The trustee is discharged once he has completed his work in the bankruptcy and distributed funds to the creditors.