bankruptcy

American  

[bangk-ruhpt-see, -ruhp-see] / ˈbæŋk rʌpt si, -rəp si /

noun

plural

bankruptcies

1. the state of being or becoming bankrupt.

2. utter ruin, failure, depletion, or the like.

---

bankruptcy British  

/ ˈbæŋkrʌptsɪ, -rəptsɪ /

noun

1. the state, condition, or quality of being or becoming bankrupt

---

bankruptcy Cultural  

1. Legally declared insolvency, or inability to pay creditors.

---

Discover More

If an individual or a corporation declares bankruptcy, a court will appoint an official to make an inventory of the individual's or corporation's assets and to establish a schedule by which creditors can be partially repaid what is owed them.

An individual who is lacking a specific resource or quality is sometimes said to be bankrupt, as in intellectually bankrupt or morally bankrupt.

Other Word Forms

• prebankruptcy noun

Etymology

Origin of bankruptcy

First recorded in 1690–1700; bankrupt + -cy

Compare meaning

How does bankruptcy compare to similar and commonly confused words? Explore the most common comparisons:

• insolvency vs. bankruptcy

Example Sentences

Since late 2020, she has lived and done business in Arizona, where, she said, she is filing for bankruptcy a fifth time.

From The Wall Street Journal

Court records show Buzzard has faced financial instability in recent years, including a Chapter 7 bankruptcy filing and multiple civil collections cases.

From Los Angeles Times

“It’s not like I’m going back in the closet,” said Shumake, who has decided to rent out his dragster to straight drivers next year rather than leave it parked and face bankruptcy.

From Los Angeles Times

On the side, she cleaned houses for extra cash, but that wasn’t enough to avoid bankruptcy.

From The Wall Street Journal

They also contributed to the bankruptcy of Takata, which is now defunct.

From The Wall Street Journal

Related Words

• default
• disaster
• failure
• insolvency
• liquidation
• loss