Does the right of a creditor to initiate a set-off

[tg16]

end upon filing or does it end at discharge?

[justbroke]

That's a tough legal question. If a creditor was going to do a set-off, they'd do it before sending it to collections and/or before taking strong collection actions. As a creditor, I would not wait.

Additionally, a creditor may want to think about whether to seek permission or validate that the stay doesn't apply in that circumstance. However, I have seen where a utility creditor did a set-off of a deposit without telling the bankruptcy court, even though the deposit was reported in the Statement of Financial Affairs (SOFA) in the filing.

Now, the heart of your question appears to be whether a creditor can set-off a pre-petition debt after discharge. My non-legal guess is that these are covered under 11 USC 553 which is specifically related to setoffs. In 553, setoffs are allows against pre-petition claims and do not affect the creditors right to setoff a claim. There are some exceptions in there, but none related to a discharge that I can see, and much of it focused on 90 days and insolvency prior to filing.

Is there something specific?

[tg16]

No, you answered my concerns

Regards