WHAT IS A
DISCHARGE IN BANKRUPTCY? (Page
A bankruptcy discharge releases the
debtor from personal liability for certain specified types of
debts. In other words, the debtor is no longer legally required to
pay any debts that are discharged. The discharge is a permanent
order prohibiting the creditors of the debtor from taking any form
of collection action on discharged debts, including legal action
and communications with the debtor, such as telephone calls,
letters, and personal contacts.
Although a debtor is not personally liable
for discharged debts, a valid lien (i.e., a charge upon specific
property to secure payment of a debt) that has not been avoided
(i.e., made unenforceable) in the bankruptcy case will remain
after the bankruptcy case. Therefore, a secured creditor may
enforce the lien to recover the property secured by the lien.