noun a rescue procedure for a financial institution on the brink of failure, in which the institution's creditors and depositors are forced to bear some of the burden by having a portion of their debt converted into equity or written off
In finance, a bail-in is the rescue of a financial institution that is on the brink of failure by making its creditors and depositors take a loss on their holdings. This is in contrast to a bail-out, which involves the rescue of a financial institution by
In economics, a bail-in is a method of rescuing a financial institution on the brink of failure by making its creditors and depositors take a loss on their holdings. This is seen as a way to prevent moral hazard by ensuring that creditors and depositors b
In banking, a bail-in is a regulatory tool that allows a failing bank to recapitalize itself by converting its debt into equity. This helps to stabilize the bank's financial position and protect depositors from losses.
In government policy, a bail-in is a strategy used to address financial crises by requiring creditors and depositors of a failing financial institution to bear some of the losses. This is seen as a way to prevent taxpayer-funded bail-outs and promote fina
In the financial industry, writers may discuss the concept of bail-in as a mechanism for rescuing a failing bank by making bondholders and depositors take a loss on their holdings.
Psychologists may study the impact of bail-in policies on individuals' financial well-being and stress levels during economic crises.
Bankers may implement bail-in strategies as part of their risk management practices to mitigate the impact of potential financial failures.
Economists may analyze the effectiveness of bail-in as a regulatory tool for preventing systemic risks in the banking sector.