.png)
CHAPTER 7 BANKRUPTCY
in Wyoming
information and answers to frequently asked questions
Chapter 7 Bankruptcy
Stops garnishments, creditor calls, and lawsuits, and get a clean financial reset.
For clients who need a clean slate and qualify under income guidelines, Chapter 7 eliminates credit card debt, medical bills, personal loans, and most judgments.
Ideal for:
-
Low and middle-income wage earners, retirees, and those with fixed or no incomes.
-
High medical or credit card debt or personal loans.
-
Job loss.
-
Divorce-related financial strain.
-
And more
What Chapter 7 Bankruptcy Does
Chapter 7 (sometimes called "liquidation bankruptcy") is designed to eliminate qualifying unsecured debts. A bankruptcy trustee reviews your financial information and, in certain cases, non-exempt assets can be sold to pay creditors. The good news: many Chapter 7 cases are “no-asset” cases, meaning most people keep the property they’re allowed to protect under exemption laws.
Common debts Chapter 7 can help with:
-
Credit card debt
-
Medical bills
-
Personal loans / payday loans
-
Old utility bills and collection accounts
-
Certain lawsuit judgments (depending on the type)
Debts Chapter 7 usually does not eliminate:
-
Most student loans (unless a separate legal standard is met)
-
Most recent taxes (some older taxes may qualify in specific situations)
-
Child support or alimony
-
Criminal or Civil Restitution
(Your situation is unique - this is where a careful review by an experienced attorney is essential.)
Am I Eligible for Chapter 7?
Eligibility often turns on your income, household size, and expenses under the means test, plus a full review of your assets, recent transfers, and financial history.
If you're not eligible for Chapter 7 (or if Chapter 7 doesn't achieve your goals), Chapter 13 or other strategies may be better options.
What to expect:
The Chapter 7 Process
While every case is different, here's the typical flow:
-
Consultation + plan: We discuss goals (stop garnishment, keep a vehicle, address a lawsuit, etc.).
-
Document Collection: Pay stubs, tax returns, bank statements, creditor info, and more.
-
Required Counseling: Completed before filing (online/phone).
-
File the case: The automatic stay usually stops most collection activity.
-
§341 Meeting: A short trustee meeting (we'll prep you thoroughly).
-
Debtor Education Course: Completed after filing.
-
Discharge: Eligible debts are eliminated and you can rebuild.
How long does Chapter 7 take?
Many Chapter 7 cases in Wyoming move from filing to discharge in roughly a few months, although timing can vary based on documentation, trustee requests, and the court's schedule.
Why it helps to work with a Chapter 7 Lawyer
Chapter 7 can be a fast, effective reset—but it’s still a federal court case with strict disclosure rules and deadlines. A do-it-yourself filing can work for some people, but Chapter 7 is where small mistakes (in exemptions, timing, valuations, or paperwork) can lead to delays, loss of property protections, or even denial of discharge.
Working with an attorney gives you real advantages:
-
Exemption planning from the start. Chapter 7 often turns on what you can protect. An attorney helps you apply the right exemptions, value assets correctly, and avoid preventable problems with vehicles, bank balances, tax refunds, and personal property.
-
Eligibility and timing strategy. Income, overtime, bonuses, household contributions, and recent changes can affect Chapter 7 eligibility. Timing the filing appropriately can make the difference between qualifying for Chapter 7 or being pushed into Chapter 13.
-
Accurate, complete disclosures. Bankruptcy paperwork is detailed for a reason. An attorney helps ensure your schedules are complete and consistent—so you’re not dealing with trustee follow-up, amendments, or unnecessary scrutiny.
-
Preparation for the trustee and the 341 meeting. You’ll know what documents to provide, what questions to expect, and how to navigate the meeting calmly and confidently.
-
Issue-spotting for common “landmines.” Recent transfers, gifts, large payments to family or creditors, lawsuits, repossessions, or prior filings can create risk. An attorney helps address these issues proactively and keep your case on track.
-
A smoother path to discharge. The goal isn’t just to file—it’s to file correctly, protect what you can, and reach discharge with as little stress and disruption as possible.
If you’re considering Chapter 7, the goal isn’t just to file—it’s to file in a way that gives you the best chance of getting your debt discharged quickly and successfully.
Worried about your credit?
Most people are — and that worry is valid. But here’s the truth: your credit may already be taking the hit if you’re behind, using cards to survive, or dealing with collections.
If credit is one of your biggest concerns, we’ll talk through what bankruptcy typically does to credit in your specific situation and what realistic rebuilding looks like afterward.
If you're trying to decide between Bankruptcy and enrolling in a Debt Management Program, check out our blog post below, and check out our social media outlets for videos on this topic.
DISCLAIMER:
This page is for educational information only and is not legal advice. Viewing this page or contacting Wright Law, LLC does not create an attorney–client relationship. Results depend on the facts of each case.