financial liability
Money you owe
A financial liability is a debt or obligation one party owes to another—money that must eventually be paid.
Companies track liabilities on balance sheets: loans, accounts payable, mortgages, bonds issued.
The company's financial liabilities exceeded its assets.
In personal finance, liabilities include credit card debt, car loans, and outstanding bills.
The term emphasizes the legal obligation to pay rather than just owing money informally.
- insolvencyInability to pay debts
- creditorOne owed money
- obligationRequired task or commitment
- legal obligationDuty enforced by law
- indemnityProtection against financial loss
money owed · debt · bad debt · guarantor · accounts payable · credit risk · unsecured debt · asset protection · balance sheet · bottom line · interest rate · financial stress · promissory note · accrual · credit rating · reserve fund · risk assessment · loan
- debtscredit card debt, car loan, student loan, loans, bank loan
- corporate liabilitycorporate veil, piercing the veil
- Jewish Tortstorts, tort law, property damage, bodily harm, personal injury
- lendingloans, borrower, approval, lenders, bank loan
financial liabilityasset
Item of value owned
financial asset · equity · net worth · shareholder equity · capital
financial liabilityfinancial asset
Owned item of value
income stream · revenue source · profit · gain · windfall