sol·​ven·​cy | \ ˈsäl-vən(t)-sē How to pronounce solvency (audio) , ˈsȯl- \

Definition of solvency

: the quality or state of being solvent

Examples of solvency in a Sentence

They reviewed financial records to measure the borrower's solvency.
Recent Examples on the Web All of this led to a brief panic like the bank runs of old—when customers who lost confidence in a bank's solvency would line up to withdraw their savings before the funds were all gone. Jeff John Roberts, Fortune, "How Bitcoin tanked on a false ‘double spend’ rumor," 22 Jan. 2021 The President-elect ran on a platform to improve the program’s long-term solvency by requiring the highest earners to pay more payroll tax. Nathan Bachrach And Amy Wagner, The Enquirer, "Allworth Advice: Financial implications of a federal government with Democrats in control of Congress and White House," 14 Jan. 2021 This isn’t just a question of the financial solvency of media outlets. Alex Fitzpatrick, Time, "What if the Web Looked More Like Wikipedia?," 15 Jan. 2021 In terms of financials, the stress test could examine solvency metrics like days of cash on hand and the mix of private insurers versus Medicare, Medicaid, and the Children’s Health Insurance Program. Til Schuermann And Helen Leis, STAT, "We stress tested banks in 2009. We need to do the same thing now for U.S. hospital systems," 29 Dec. 2020 Inslee's latest budget proposals support raising minimum weekly payouts for people claiming jobless benefits and freezing employer solvency taxes through 2025. Tim Gruver, Washington Examiner, "Security gaps cost Washington Employment Security Department millions: Auditor," 21 Dec. 2020 The cracks began to show in September, when China Evergrande Group, the country’s largest property developer, alerted regulators of solvency issues. Daniel Tenreiro, National Review, "Wall Street Bets Big on China," 14 Dec. 2020 How can such a large tax hike do so little for Social Security’s solvency? Andrew G. Biggs, WSJ, "The Hidden Trap in Biden’s Tax Hike," 18 Oct. 2020 The businesses said limits on crowd or class sizes and other restrictions threatened their solvency. Deborah Yetter, The Courier-Journal, "State Supreme Court upholds Gov. Andy Beshear's power to issue emergency COVID-19 orders," 12 Nov. 2020

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'solvency.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of solvency

circa 1727, in the meaning defined above

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The first known use of solvency was circa 1727

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Statistics for solvency

Last Updated

15 Feb 2021

Cite this Entry

“Solvency.” Dictionary, Merriam-Webster, Accessed 5 Mar. 2021.

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More Definitions for solvency



English Language Learners Definition of solvency

: the state of being able to pay debts


sol·​ven·​cy | \ ˈsäl-vən-sē How to pronounce solvency (audio) \

Legal Definition of solvency

: the quality or state of being solvent

More from Merriam-Webster on solvency

Nglish: Translation of solvency for Spanish Speakers

Britannica English: Translation of solvency for Arabic Speakers

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