• A guarantee helps a financial institution that is on the verge of bankruptcy by demanding the cancellation of debts to creditors and depositors.

  • Bailout and bailout are problem-solving schemes used in disaster situations.
  • A bailout helps keep creditors from losing money, while a bailout obliges creditors to bear the loss.
  • Bank bailouts are being considered around the world to help ease the burden on taxpayers from bank bailouts.