1530s, from It. banca rotta
, lit. "a broken bench," from banca
"moneylender's shop," lit. "bench" (see bank
(1)) + rotta
"broken, defeated, interrupted" from (and remodeled on) L. rupta,
fem. pp. of rumpere
"to break" (see rupture
). "[S]o called from the habit of breaking the bench of bankrupts" [Klein]. The verb is first recorded 1550s.