Bank Failure
/ˈbæŋk ˈfeɪljər/
Definitions
- (n.) The event in which a bank becomes insolvent and is unable to meet its obligations, often resulting in closure or takeover by regulatory authorities.
The bank failure led to significant financial losses for its depositors.
Forms
- bank failure
- bank failures
Related terms
See also
Commentary
Often involves regulatory processes such as receivership; crucial to distinguish from mere financial distress.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.