Q: What is a bankruptcy discharge, and how does it differ from a closing of the case?

A: A bankruptcy discharge releases the debtor from his/her legal obligation to repay most of the debts listed on their bankruptcy petition.  Once closed, the case is officially over and the trustee has relinquished any/all interest that he/she may have had in the debtor’s property.  If a debtor’s property is being liquidated in order to repay creditors, they may receive a discharge but the case will not be closed until the property has been sold and all matters are concluded in connection with the case. 

The information contained in this article is designed to be used for reference purposes only.  It should not be use as, in place of or in conjunction with professional legal or financial advice.  For additional information relating to the filing of bankruptcy, consult a local attorney who specializes in bankruptcy law.