What is the difference between a discharge and a dismissal?

A discharge and a dismissal are two different results that can come from a bankruptcy case. A discharge is the most desirable outcome since it relieves the debtor of the obligation to repay certain debt. The debts that can be discharged in Utah can include credit cards, medical bills, and some taxes, but not child support or student loans. A dismissal, on the other hand, does not clear the debt. Instead, it terminates the bankruptcy case without providing any relief to the debtor. That means that the debtor is still liable for the debts and creditors can still take collection action. In other words, a discharge is a way to have certain debts canceled while a dismissal is an order that the bankruptcy court made to end the bankruptcy without giving the debtor any relief. The difference between a discharge and a dismissal is important to understand because the outcome of the bankruptcy case can make a huge difference for the debtor.

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What is the difference between a discharge and a dismissal?

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