📅 2026 Update: Changes in Wyoming Bankruptcy Law and Fees

Since the original article was published, there have been significant updates related to bankruptcy in Wyoming. These changes affect the fees associated with different bankruptcy chapters and introduce new options for hospital bankruptcies. The earlier article continues further down the page, providing foundational information on U.S. bankruptcy law and procedures.

🏥 New Hospital Bankruptcy Options

On February 13, 2026, Wyoming introduced Senate File 0005. This new law allows county memorial hospitals and hospital districts to file for bankruptcy under Chapter 9 of the U.S. Bankruptcy Code.

This change aims to give these healthcare facilities more options for financial restructuring during tough economic times.

💰 Updated Filing Fees

As of October 1, 2024, the fees for filing bankruptcy petitions have changed. The Chapter 7 filing fee is now $338. For Chapter 13, the fee is $313, while Chapter 11 has a fee of $1,738.

These updates are important for individuals considering bankruptcy options in Wyoming.

📄 Installment Payment Options

Individuals filing for bankruptcy can now pay their fees in installments. For Chapter 7, the fee can be paid in four installments, starting with $80 due within five business days after filing. For Chapter 11, the first payment of $400 is also due within five business days.

This flexibility may help those struggling to pay the full fee upfront.

📊 Chapter 13 Dismissal Rates

Between fiscal years 2020 and 2024, the District of Wyoming processed 254 Chapter 13 bankruptcy filings. However, the dismissal rate for these cases was 76.5%. This high dismissal rate highlights the challenges many face when filing for this type of bankruptcy.

📌 Key Points to Remember

  • 🏥 New law allows hospitals to file under Chapter 9.
  • 💰 Chapter 7 filing fee is now $338; Chapter 11 is $1,738.
  • 📄 Payment options available in installments for all chapters.
  • 📊 High dismissal rate of 76.5% for Chapter 13 cases.

💡 Tips for Understanding Bankruptcy in Wyoming

Reviewing your situation with an attorney is important to understand the best options for filing bankruptcy.

📝 Know the Filing Fees

Understanding the fees associated with filing for bankruptcy is essential. As of October 2024, Chapter 7 costs $338, Chapter 13 costs $313, and Chapter 11 costs $1,738. These amounts can influence your decision on which chapter to file under.

⌛ Consider Payment Plans

If the upfront fees are a concern, remember that you can pay bankruptcy filing fees in installments. For Chapter 7 and Chapter 13, the payments can be spread out over 120 days. This option provides flexibility for those facing financial hardship.

📊 Review Dismissal Rates

Be aware of the dismissal rates for different bankruptcy types. The 76.5% dismissal rate for Chapter 13 filings in Wyoming indicates that many individuals may not complete the process successfully. Understanding this can help you prepare better.

📄 Use Approved Forms

Make sure to use the official bankruptcy forms approved by the United States Bankruptcy Court for the District of Wyoming. These forms are necessary for a successful filing and can be obtained from the court's website.

🆓 Explore Free Resources

If you are considering Chapter 7 bankruptcy, look into Upsolve, a nonprofit that offers free help for filing. They provide tools and guidance for those who qualify, making the process more accessible.

🏥 Stay Updated on New Laws

Keep an eye on new laws and regulations regarding bankruptcy in Wyoming. Recent changes, like the ability for hospitals to file under Chapter 9, can affect the landscape of bankruptcy options.

❓ Frequently Asked Questions

❓ What is the Chapter 7 means test?

The Chapter 7 means test determines eligibility based on income. As of April 2026, the median income for a single-person household in Wyoming is approximately $71,571 per year.

❓ How long does a bankruptcy filing take?

The processing time for bankruptcy filings varies. Generally, Chapter 7 cases can be completed within a few months, while Chapter 13 cases may take three to five years, depending on the repayment plan.

❓ Can I file for bankruptcy without an attorney?

Yes, individuals can file for bankruptcy without an attorney. However, the Bankruptcy Clerk's Office cannot provide legal advice, so using the official guides and forms is essential.

❓ What happens to my credit after bankruptcy?

Bankruptcy filings are public records and may appear on your credit report for up to ten years. This can affect your ability to secure loans or credit in the future.

❓ Are there exemptions in bankruptcy?

Yes, there are exemptions that determine what property you can keep during bankruptcy. These exemptions can vary based on state laws and the type of bankruptcy filed.

❓ Can I refile for bankruptcy after a dismissal?

Yes, you may refile for bankruptcy after a case has been dismissed. However, it is important to understand the reasons for the dismissal and address those issues before reapplying.

⚖️ Recent Cases in Wyoming Bankruptcy

Recent court rulings have highlighted changes in bankruptcy law and procedures in Wyoming, especially concerning hospital bankruptcies and individual filings.

For more details on recent rulings, check out more rulings on the news page.

End of October 2026 Update





 


Wyoming Bankruptcy Law

 

Wyoming bankruptcy follows laws that reflect federal law and compare closely to other states with strict laws concerning exemptions.  Because of the state’s low unemployment rate, 7.0%, and lack of exemptions under Chapter 7, many people will either choose to file for Chapter 13 or be told by a judge that it’s their only option.  The WY bankruptcy laws are strict, but the laws are in place to help a person who has either been irresponsible with their finances or been the victim of unfortunate economic conditions.

 

Wyoming Bankruptcy : Personal and Corporate

 

If a family or individual decides to file for Wyoming bankruptcy, they generally file for Chapter 7 or Chapter 13.  If a corporation is facing economic hardship, it can opt to file for Chapter 11.  There are other types of bankruptcy, but these chapters are the most common.

 

WY Bankruptcy : Chapter 7

 

Chapter 7 bankruptcy has become harder and harder to obtain in the last couple of years under federal and state law.  However, the initiative still works best for families or individuals with large amounts of unsecured debt (credit cards, medical, personal loans, etc) and low to no means of income.

 

In order to qualify for Chapter 7, a person must pass a means test.  In order to pass, the person’s household income must fall below Wyoming’s state average of $53,757, and a judge must conclude that the person cannot afford monthly payments in order to pay back some of the debt.  After qualifying for Chapter 7, a person may be entitled to some or all of the exemptions below:

 

• $10,000 homestead

• $2,400 for vehicle

• Up to $3,000 in personal property

• Pensions

• $2,000 for tools of trade

 

WY Bankruptcy : Chapter 11

 

If a corporation is facing economic instability, an owner may choose to file for Chapter 11 bankruptcy.  The measure gives the corporation a “grace period” in order to reorganize its finances, employees, and other essential logistics in order to increase profit and reduce the overall owed debt.

 

WY Bankruptcy : Chapter 13

 

A family may either choose to file for Chapter 13 or be forced to file this type of bankruptcy.  The most beneficial aspect of Chapter 13 allows a family or individual to keep their property and assets during a period of three to five years.  During this time period, they make monthly payments in order to reduce their overall owed debt by as much as 25% or even more in some cases.  This type of bankruptcy is also called “reorganization” because it allows a person or family to organize their finances and living expenses in order to reduce debt.

 

Taxes

 

If a person files under Chapter 7, a creditor may collect their federal and state tax returns as assets.  These funds are normally protected under Chapter 13.

 

Filing for Wyoming Bankruptcy

 

Like most other states, the state of Wyoming makes a person attend a credit counseling course six months before even filing for Wyoming bankruptcy.  Additionally, the same individual must attend a debtor education courses before reaching a final settlement with a creditor.

 

It’s always in your best interest to hire an attorney if considering Wyoming bankruptcy.  A lawyer can help you submit the right documents and fees at the right time, and they can sometimes help reduce backed taxes to the IRS in some cases.  Nonetheless, they will help you reach the best possible settlement with your creditor.  You will be required to submit the following documents under Wyoming and federal law:

 

• Petition

• Attorney certificate

• Proof of income

• Proof of net monthly income

• Anticipated changes in income

• Educational individual retirement account

• Tax returns from most recent to as far back as four years

Wyoming Bankruptcy