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noun

solvency

SOL-vuhn-see
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Solvency (noun) means the state of having enough money or liquid assets to pay all of one's debts. Example: “The auditors checked the company's solvency before approving the loan.”

noun
1
finance The state of having enough money or liquid assets to pay all of one's debts.
"The auditors checked the company's solvency before approving the loan."
"Regulators watch the solvency of large banks closely."
"Cutting costs helped the business restore its solvency."

How to use solvency

Learner’s notes

In plain EnglishHaving enough money to pay what you owe.

When to use it

Solvency is a finance term, common in business and banking contexts.

Memory tip

Solvency is the noun and solvent is the adjective, so a company is solvent and has solvency.

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Easily confused with
Common pairings
financial solvency maintain solvency threaten solvency long-term solvency
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Can you complete this real example?

The auditors checked the company's _____ before approving the loan.

Etymology

Solvency was formed in English from solvent plus the ending -cy.

Origin: English

Antonyms

Related words

Rhymes for solvency

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Frequently asked questions

What does solvency mean?
Solvency is the state of having enough funds or liquid assets to pay all of your debts. It describes a person or company that is solvent.
What is the opposite of solvency?
The opposite of solvency is insolvency.
Is solvency a countable noun?
It is usually uncountable, so people normally say solvency rather than a solvency. The plural solvencies exists but is not common in everyday use.
What is the meaning of solvency?
"solvency" (noun) means the state of having enough money or liquid assets to pay all of one's debts.

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