The Discharge & Life After Bankruptcy

For most people, filing bankruptcy starts the journey of moving beyond problem debts. However in rare cases, an unexpected debt suddenly arises in the weeks or months after filing bankruptcy. Common examples might be an unanticipated medical expense or liability from an accident.

To answer this question, it is first helpful to describe what it means for a bankruptcy case to be closed or open.

Generally yes, a person is free to pay back a debt voluntarily after bankruptcy.

Generally, Yes. Bankruptcy does not end one's ability to borrow money, although it impacts exactly what credit is available.

In the ordinary case, a chapter 13 discharge (which eliminates personal liability on debts) is granted shortly after the completion of plan payments. A

There are certain very particular reasons why a bankruptcy discharge can be revoked.

A bankruptcy discharge is granted by the bankruptcy court and serves as a permanent injunction against collecting certain past debts from the debtor personally. The discharge is the legal vehicle that grants the debtor a fresh start and wipes out past debts. Having a discharge granted is a goal of most bankruptcy filings.

Filing bankruptcy is event reported on credit reports published by most credit bureaus. Under the Fair Credit Reporting Act, a bankruptcy can be reported for up to 10 years after the date of filing. Credit agencies will sometimes remove the filing after 7 years, particularly in chapter 13 cases.