Bankruptcy is a legal status of a person or other entity that cannot repay the debts it owes

to creditors. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the
debtor.
Bankruptcy is not the only legal status that an insolvent person or other entity may have, and the
term bankruptcy is therefore not a synonym for insolvency. In some countries, including the United
Kingdom, bankruptcy is limited to individuals, and other forms of insolvency proceedings (such
as liquidation and administration) are applied to companies. In the United States, bankruptcy is
applied more broadly to formal insolvency proceedings.
Source: http://en.wikipedia.org/wiki/Bankruptcy
Insolvency is the inability of a debtor to pay their debt. In many sources, the definition also includes
the phrase "or the state of having liabilities that exceed assets" or some similar phrase.
[1][2][3][4]

Cash flow insolvency involves a lack of liquidity to pay debts as they fall due. Balance sheet
insolvency involves having negative net assetswhere liabilities exceed assets. Insolvency is not
a synonym for bankruptcy, which is a determination of insolvency made by a court of law with
resulting legal orders intended to resolve the insolvency.
A business can be cash-flow insolvent but balance-sheet solvent if it holds market liquidity assets,
particularly against short term debt that it cannot immediately realize if called upon to do so.
Conversely, a business can have negative net assets showing on its balance sheet, making it
balance-sheet insolvent, but still be cash-flow solvent if ongoing revenue is able to meet debt
obligations, and thus avoid default: for instance, if it holds long term debt. Some large companies
operate permanently in this state.
Considering the first definition of insolvency ("Insolvency is the inability of a debtor to pay their
debt."), this situation of ongoing balance-sheet insolvency with cash-flow solvency obviously does
not qualify as "insolvency" defined that way. It has been suggested (for instance by Graeme Pietersz
of Moneyterms) that the speaker or writer should either saytechnical insolvency or actual
insolvency in order to always be clear - where technical insolvency is a synonym for balance sheet
insolvency and actual insolvency is a synonym for the first definition of insolvency ("Insolvency is the
inability of a debtor to pay their debt.").
[5]

This avoids any confusion over which of the two definitions of "insolvency" are being used. If it is
known that the second definition of insolvency (the definition which adds "or the state of having
liabilities that are greater than assets") is being used, then it avoids any confusion over which of the
two possible required situations is manifest.
While technical insolvency is a synonym for balance-sheet insolvency, cash-flow insolvency and
actual insolvency are not synonyms. The term "cash-flow insolvent" carries a strong (but perhaps not
absolute) connotation that the debtor is balance-sheet solvent, whereas the term "actually insolvent"
does not.
Source: http://en.wikipedia.org/wiki/Insolvency
A credit union is a member-owned financial cooperative, democratically controlled by its members,
and operated for the purpose of promoting thrift, providing credit at competitive rates, and providing
other financial services to its members.
[1][2][3]
Many credit unions also provide services intended to
support community development
[4]
or sustainable international development on a local level.
[5]

Worldwide, credit union systems vary significantly in terms of total system assets and average
institution asset size,
[6]
ranging from volunteer operations with a handful of members to institutions
with assets worth several billion US dollars and hundreds of thousands of members.
[7]
Credit unions
operate alongside other mutual and/or co-operative organisations engaging in cooperative banking,
such as building societies.
Source: http://en.wikipedia.org/wiki/Credit_union