{"id":10589,"date":"2020-08-12T19:46:09","date_gmt":"2020-08-12T19:46:09","guid":{"rendered":"https:\/\/nomoredebts.org\/?page_id=10589"},"modified":"2025-04-28T23:39:36","modified_gmt":"2025-04-29T06:39:36","slug":"what-does-bankruptcy-discharge-mean","status":"publish","type":"page","link":"https:\/\/nomoredebts.org\/debt-help\/bankruptcy\/what-does-bankruptcy-discharge-mean","title":{"rendered":"Bankruptcy Discharge in Canada – Bankruptcy Definitions"},"content":{"rendered":"

[et_pb_section fb_built=”1″ admin_label=”Banner Image with Heading and Text” module_class=”vertical-align” _builder_version=”4.16″ background_color=”#e7dff3″ use_background_color_gradient=”on” background_color_gradient_type=”circular” background_color_gradient_stops=”rgba(91,37,175,0.44) 15%|rgba(91,37,175,0) 70%” background_color_gradient_overlays_image=”on” background_color_gradient_start=”rgba(91,37,175,0.44)” background_color_gradient_start_position=”15%” background_color_gradient_end=”rgba(91,37,175,0)” background_color_gradient_end_position=”70%” background_image=”https:\/\/nomoredebts.org\/wp-content\/uploads\/2020\/08\/bankruptcy-discharge_hero.jpg” min_height=”550px” bottom_divider_style=”wave2″ bottom_divider_color=”#e7dff3″ bottom_divider_height_tablet=”70px” bottom_divider_height_phone=”50px” bottom_divider_height_last_edited=”on|phone” background_last_edited=”on|phone” background_size_phone=”cover” background_position_tablet=”top_right” background_position_phone=”center_right” da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row custom_padding_last_edited=”on|phone” admin_label=”Row” _builder_version=”4.16″ background_enable_image=”off” max_width=”100%” custom_margin=”||||false|false” custom_padding=”||90px||false|false” custom_padding_tablet=”” custom_padding_phone=”||80px||false|false” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ global_colors_info=”{}”][et_pb_text admin_label=”Heading” _builder_version=”4.27.4″ text_font=”|600|||||||” text_font_size=”42px” text_line_height=”1em” text_orientation=”center” background_layout=”dark” module_alignment=”center” custom_margin=”||26px|||” custom_padding=”0px|||||” animation_direction=”top” hover_enabled=”0″ text_text_shadow_style=”preset2″ global_colors_info=”{}” sticky_enabled=”0″]Bankruptcy Discharge[\/et_pb_text][et_pb_text admin_label=”Text” _builder_version=”4.16″ text_font_size=”22px” text_line_height=”1em” text_orientation=”center” background_layout=”dark” module_alignment=”center” custom_margin=”||||false|false” custom_padding=”||||false|false” animation_direction=”bottom” text_text_shadow_style=”preset2″ global_colors_info=”{}”]<\/p>\n

Learn how bankruptcy discharge works in Canada.<\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ custom_padding_last_edited=”on|tablet” admin_label=”Intro Paragraph” _builder_version=”4.16″ background_color=”rgba(91,37,175,0.15)” custom_padding=”0px||25px|||” custom_padding_tablet=”||0px||false|false” custom_padding_phone=”||45px||false|false” top_divider_style_last_edited=”off|desktop” bottom_divider_color=”#ffffff” bottom_divider_repeat=”1x” bottom_divider_flip=”horizontal|vertical” bottom_divider_style_tablet=”” bottom_divider_style_phone=”” bottom_divider_style_last_edited=”on|phone” bottom_divider_height_tablet=”70px” bottom_divider_height_phone=”100px” bottom_divider_height_last_edited=”on|phone” bottom_divider_flip_tablet=”” bottom_divider_flip_phone=”horizontal” bottom_divider_flip_last_edited=”on|phone” da_disable_devices=”off|off|off” collapsed=”off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.16″ width_tablet=”80%” width_phone=”80%” width_last_edited=”on|desktop” custom_padding=”0px|||||” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ global_colors_info=”{}”][et_pb_dmb_breadcrumbs font_icon=”%%20%%” use_home_icon=”off” use_home_text=”on” show_custom_taxonomy_crumbs=”off” _builder_version=”4.27.4″ body_text_color=”rgba(102,102,102,0.8)” link_text_color=”rgba(42,209,61,0.8)” custom_margin=”||50px|||” custom_padding_tablet=”” custom_padding_phone=”20px||||false|false” custom_padding_last_edited=”on|phone” animation_direction=”left” global_module=”6437″ saved_tabs=”all” global_colors_info=”{}” link_text_color__hover_enabled=”on|hover” link_text_color__hover=”rgba(90,39,178,0.4)”][\/et_pb_dmb_breadcrumbs][et_pb_text admin_label=”H1 Heading” _builder_version=”4.27.4″ custom_margin=”||0px|||” custom_padding=”||2px|||” animation_direction=”bottom” hover_enabled=”0″ global_colors_info=”{}” sticky_enabled=”0″]<\/p>\n

What Does Bankruptcy \u201cDischarge\u201d Mean in Canada?<\/h1>\n

Bankruptcy discharge<\/strong> is simply defined as the last step of bankruptcy in Canada<\/a>. Once you have completed all of the requirements, your bankruptcy trustee<\/a> will ask the Court to discharge you from your bankruptcy. When you’re “discharged from bankruptcy,” you’re released from your obligations and the bankruptcy process is complete.<\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ custom_padding_last_edited=”on|phone” _builder_version=”4.16″ _module_preset=”default” custom_margin=”||0px||false|false” custom_margin_tablet=”||-90px||false|false” custom_margin_phone=”||-70px||false|false” custom_margin_last_edited=”on|phone” custom_padding=”130px||21px|||” custom_padding_tablet=”142px||||false|false” custom_padding_phone=”147px||||false|false” top_divider_style=”ramp2″ top_divider_color=”#e7dff3″ da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_text _builder_version=”4.16″ animation_direction=”top” global_colors_info=”{}”]<\/p>\n

Bankruptcy is a Roughly 9 Month Legal Process to Eliminate Debt<\/h2>\n

When someone signs the paperwork to go bankrupt, it means that they have \u201cassigned themselves into bankruptcy<\/a>.\u201d<\/p>\n

Filing or claiming bankruptcy isn\u2019t a one-day event. It’s the start of a legal process to eliminate debt<\/a>. The process will take at least 9 months to complete.<\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ prev_background_color=”#ffffff” _builder_version=”4.16″ _module_preset=”default” background_color=”#e4f8e0″ custom_margin=”0px||||false|false” custom_margin_tablet=”100px||0px||false|false” custom_margin_phone=”” custom_margin_last_edited=”on|phone” custom_padding=”141px||70px||false|false” top_divider_style=”curve2″ bottom_divider_style=”wave2″ bottom_divider_color=”#e4f8e0″ da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.16″ _module_preset=”default” custom_padding=”||0px|||” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_text _builder_version=”4.27.2″ _module_preset=”default” global_colors_info=”{}”]<\/p>\n

What Happens if You Aren’t Discharged from Bankruptcy
Undischarged Bankrupt<\/span><\/h2>\n

If you don’t follow through and obtain your discharge, you’re left in an uncertain legal position.<\/p>\n

This puts your financial affairs on hold until your situation is sorted out. You many need to hire a new trustee or even a bankruptcy lawyer<\/strong>, and it can become a lengthy and costly process.<\/p>\n

There are reasons why a discharge may be delayed, but becoming an “undischarged bankrupt<\/a>” is something you want to avoid.<\/p>\n

Speak with your trustee if there’s a chance you won’t be able to fulfill all of the requirements.<\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ prev_background_color=”#e4f8e0″ _builder_version=”4.16″ custom_padding=”130px||60px|||” top_divider_style=”wave2″ da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row column_structure=”1_2,1_2″ make_equal=”on” module_id=”get-secured-card” _builder_version=”4.16″ width_tablet=”80%” width_phone=”80%” width_last_edited=”on|phone” global_colors_info=”{}”][et_pb_column type=”1_2″ _builder_version=”4.16″ animation_style=”slide” animation_direction=”left” animation_intensity_slide=”2%” custom_css_main_element=”margin: auto;\t” global_colors_info=”{}”][et_pb_image src=”https:\/\/nomoredebts.org\/wp-content\/uploads\/2020\/09\/managing-and-budgeting-finances_2colm.jpg” alt=”Woman tapping on a computer while holding a paper” title_text=”managing-and-budgeting-finances” align_tablet=”center” align_phone=”” align_last_edited=”on|phone” _builder_version=”4.16″ max_height_last_edited=”off|tablet” custom_margin=”||||false|false” custom_margin_tablet=”||25px||false|false” custom_margin_phone=”||0px||false|false” custom_margin_last_edited=”on|phone” custom_padding_tablet=”||22px||false|false” custom_padding_phone=”||37px||false|false” custom_padding_last_edited=”on|tablet” border_radii=”off|200px|20px|200px|20px” box_shadow_style=”preset2″ global_colors_info=”{}”][\/et_pb_image][\/et_pb_column][et_pb_column type=”1_2″ _builder_version=”4.16″ global_colors_info=”{}”][et_pb_text _builder_version=”4.16″ animation_direction=”top” global_colors_info=”{}”]<\/p>\n

Life After Bankruptcy
Rebuilding Credit After You’re Discharged<\/span><\/h2>\n

Once the bankruptcy process is complete, you’re able to start rebuilding your credit after bankruptcy discharge<\/a>.<\/p>\n

You’ll also be able to start or put back into motion your financial plans now that your bankruptcy has been discharged. However, make sure not to repeat any habits or actions that made you bankrupt in the first place.\u00a0<\/p>\n

Most people want to avoid ending up in financial trouble again, so creating a realistic budget<\/a> is key to managing your finances<\/a><\/strong>. Applying for credit to help rebuild your credit is fine, but make sure that you use whatever you get responsibly. Always make your payments on time and keep track of your costs so that you’re not spending more money than you earn.\u00a0<\/p>\n

[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ prev_background_color=”#ffffff” _builder_version=”4.16″ _module_preset=”default” background_color=”#e7dff3″ custom_padding=”130px|||||” top_divider_style=”wave2″ da_disable_devices=”off|off|off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_text _builder_version=”4.16″ _module_preset=”default” custom_margin=”||0px|||” global_colors_info=”{}”]<\/p>\n

Common Questions About Bankruptcy Discharge<\/h2>\n