English Reference
noun

bankruptcy

n.
US /ˈbæŋkɹəpsi/ UK /bˈæŋkɹʌptsi/ bank·rupt·cy UK spelling bankruptcies, bankruptcy's

  1. 01 B2 Upper Intermediate Technical Law

    the legal state of a person or company that cannot pay the money they owe.

    the legally declared state of being unable to meet financial obligations or pay debts. Often used with the verbs 'file for' or 'declare'.

    Simple

    The small airline was forced to file for bankruptcy after fuel prices doubled.

    In context

    After months of restructuring negotiations failed, the corporation finally declared bankruptcy to protect its remaining assets from creditors.

    Usage

    Commonly follows the verbs 'file for', 'declare', or 'avoid'.

    Pitfall
    The company went to bankruptcy last year. The company went bankrupt last year.

    Use the adjective 'bankrupt' after the verb 'go'. Use the noun 'bankruptcy' with 'file for' or 'declare'.

  2. 02 C1 Advanced Formal

    a complete lack of something good or useful, such as ideas or morals.

    a total lack or exhaustion of a particular non-material resource or quality. Often used in the phrase 'moral bankruptcy'.

    Simple

    The critic argued that the new film showed a total bankruptcy of original ideas.

    In context

    The scandal revealed a profound moral bankruptcy at the heart of the administration, leading to widespread calls for resignation.

    Usage

    Usually followed by 'of' and an abstract noun like 'ideas', 'imagination', or 'morals'.

I am a business school professor who has researched bankruptcies and whether, when you are at the end of your financial rope, bankruptcy helps or hurts.

The Conversation· 19 Aug 2026

Lack of funding pushed many colleges into bankruptcy and closing.

The Conversation· 4 Aug 2026

From bankrupt + -cy, replacing earlier bankruptship.

Etymology adapted from Wiktionary, available under CC BY-SA 4.0.

This entry
Level B2 · Upper Intermediate
Frequency Common
Updated