bad bank
bad bank noun: a bank created to specialize in the ownership of defaulted loans and their collection.
Noun
bad bank (plural bad banks)
- A bank created to specialize in the ownership of defaulted loans and their collection.
- And Grant Street National Bank, as the bad bank is called, ... The bad bank and its 75 workout specialists proved adept at unloading sorry loans1992, Business Week
- In the 1980s, another method of problem resolution emerged, known as a good-bank, bad-bank split model.1999, Benton E. Gup, International banking crises, page 249
- Synonyms:
- collection bank
Synonyms of bad bank
- collection bank
Forms of bad bank
| plural | bad banks |
|---|
Origin of bad bank
Possibly derived from a usage by Walter Bagehot in Lombard Street: "The cardinal maxim is, that any aid to a present bad bank is the surest mode of preventing the establishment of a future good bank."
Questions about bad bank
- What does bad bank mean?
- Bad bank means a bank created to specialize in the ownership of defaulted loans and their collection.
- What part of speech is bad bank?
- Bad bank is a noun.
- What is the plural of bad bank?
- The plural of bad bank is bad banks.
Words near bad bank in the dictionary
Source and license
Adapted from Wiktionary: bad bank (page history and authors). Text available under the Creative Commons Attribution-ShareAlike 4.0 license. Word.ws reformatted the entry and added links. Wiktionary data of 2026-09-02.
Last updated:
Cite this entry: “bad bank.” Word.ws, https://word.ws/bad_bank. Based on Wiktionary, CC BY-SA 4.0.