A person who is insolvent (unable to pay their debts) can be declared bankrupt. This means their assets and income become, for a period, by a trustee who attempts to clear what debts they can.
A re-organisation of a company's financial structure, agreed between the company and either creditors or holders of securities, and approved by a court.
Negative equity occurs when the value of an asset is less than the amount of a debt secured on it. it is common in factoring, project finance and US residential mortgages.
