How to Get a Chapter 13 Bankruptcy Discharge
Completing a Chapter 13 Bankruptcy case is no easy task! Below is the process and procedure to wrap up your case to receive your discharge in the Western District of Michigan. It’s important you pay attention to these steps so that you receive your discharge. Note that these steps have been simplified for understanding and any legal questions should be addressed to the attorney assisting you with your legal matter.
Step 1: Once you have completed your Plan payments, the Trustee will issue a “Notice of Plan Completion”. If you have a wage order or automatic payments, the Trustee will also send notice to stop these payments.
Step 2: If you had a mortgage while in your Plan, the Trustee will also file a “Notice of Mortgage Payment Cure” for the mortgage company to respond to regarding whether your mortgage payments are current. Once the mortgage company responds (this can take up to 30 days), you will move on to Step 3. If you do NOT have a mortgage, you will jump to Step 3.
Step 3: The Trustee will complete a final audit of your case. This includes making sure all of your payments have been received and that all payments from the Trustee to creditors have been cashed.
Step 4: Assuming all is fine with your audit, the Court will then issue a “Domestic Support Obligation Certificate”. Your attorney will also send you a copy of this document with a return envelope and instructions. You should return this as soon as possible to speed up the process. If you have not completed your 2nd credit counseling course, this will also need to be completed at this time.
Step 5: After all of the above has been done, the Court will issue the final “Order of Discharge”. This is the document that discharges the applicable debt in your bankruptcy case! The Court will also eventually issue a “notice of closure” for your case. If any payments have been overpaid to the Trustee, the Trustee will return these funds to you.
If you have paid off a vehicle or mortgage during your bankruptcy case, these lien releases should come through a few weeks after your bankruptcy case is closed.
Congratulations! Completing your bankruptcy case is no easy feat!
Attorney Allison Greenlee Korr handles cases in Kalamazoo, Battle Creek and all surrounding counties, call today for a consultation. 269-381-4471