What is the meaning of a bankruptcy discharge?

A bankruptcy discharge is the end result of a bankruptcy filing. It is a court order that relieves an individual of their debt obligations and gives them a fresh start. In the state of North Carolina, the court will issue a discharge if the debtor has completed all of their requirements, such as attending a court-approved credit counseling class, filing all of their documents, paying any applicable fees, and making any required payments. The bankruptcy discharge releases the debtor from personal liability to pay certain debts that were included in the bankruptcy filing. This means that after the discharge, the debtor is no longer legally obligated to pay the debts that were included. However, it is important to note that there are some debts that are not dischargeable, such as student loans, alimony, child support, and certain taxes. Additionally, it is important for debtors to understand that not all creditors will be included in the discharge. For instance, secured creditors, such as mortgage lenders and car loan lenders, are not included in the discharge and the debtor will still need to make payments on those debts in order to keep the property. Overall, a bankruptcy discharge is an important step in the bankruptcy process, as it allows debtors to be relieved of their debt obligations and have a fresh start. It is important for debtors to understand the process and know what debt obligations are not included in the discharge.

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What is the meaning of a bankruptcy discharge?

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