A bail-in is the rescue of a financial institution that is on the brink of failure whereby creditors and depositors take a loss on their holdings. A bail-in is the opposite of a bailout, which involves the rescue of a financial institution by external parties, typically governments that use taxpayers money. Bailouts have been far more common than bail-ins. However, in recent years, and following massive bailouts, some governments now require the investors and depositors of a bank to take a loss before taxpayers.