FINANCIALLY RUINED can be described as being BANKRUPT, which is an 8 letter word. Bankruptcy is a legal status of a person or other entity that cannot repay debts to creditors. It is usually initiated by the debtor, but can sometimes be forced upon them by creditors. Bankruptcy is a form of insolvency, which is when a person or entity has more liabilities than assets. This can lead to a person or entity being unable to pay their debts and having their assets liquidated to pay off creditors.