There are two types of discharges in a Chapter 13. The first type of discharge is a successful plan discharge where the debtor has completed all payments under their confirmed plan. This discharge is referred to as a section 1328(a) discharge. The other type of discharge is a "best efforts" discharge that is granted even when a debtor was unable to complete the payments under the plan due to circumstances for which the debtor should not be held accountable. This is a 1328(b) discharge.
After the completion of all plan payments, a court order is granted to the debtor. In the 1328(a) discharge, which is must more common, the discharge allows a debtor to discharge all debts except:
- debts not provide for by the plan
- debts whose last payment is due after the final payment date for the plan
- debts for embezzlement, larceny or fiduciary fraud
- debts for domestic support obligations
- debts incurred during the bankruptcy
- debts for student loans
- most tax debts'debts for death or personal injury caused by the debtors operation of a motor vehicle while intoxicated
- debts for restitution or a criminal fine included in a sentence on the debtor for conviction of a crime
- debts for restitution in a civil action that were caused by "willful or malicious injury by the debtor that caused personal injury or death to another
A 1328(b) discharge is much more rare and you should seek the help of your Chester County bankruptcy lawyer for guidance on the rules pursuant to 11 U.S.C. 1328(b). But, it should be known that if you get this type of discharge, you will be discharged from all debts except:
- secured debts
- unsecured debts not provided for in the plan
- unsecured debts whose last payment is due after the final payment date for the plan
- post-petition debts
- and others that you should talk to your lawyer about