embarrassment / predicament
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embarrassment
A state of discomfort or self-consciousness, often caused by an embarrassing or unpleasant social situation. You feel unsure and do not know how to react.
Als er ihren Namen vergaß, war ihm die Verlegenheit deutlich anzusehen.
When he forgot her name, his embarrassment was clearly visible.
to embarrass someone
To put someone in an embarrassing, unpleasant, or difficult situation in which the person does not know what to do or say.
Mit seiner direkten Frage hat er sie sichtlich in Verlegenheit gebracht.
With his direct question, he visibly embarrassed her.
predicament
A difficult situation or emergency, especially of a financial nature. This meaning is rather rare and formal today.
Durch die unerwarteten Ausgaben geriet die Familie in eine finanzielle Verlegenheit.
Because of the unexpected expenses, the family fell into a financial predicament.
'Die Verlegenheit' (embarrassment/predicament) is the noun related to the adjective 'verlegen', which means 'self-conscious' or 'embarrassed'. If you know 'verlegen' (embarrassed), you can easily work out the meaning of 'Verlegenheit' as the state of being embarrassed.
Er wurde rot und schaute verlegen auf den Boden.
He blushed and looked down at the floor, embarrassed.
Common phrases are 'in Verlegenheit geraten' (to get embarrassed), 'aus Verlegenheit' (out of embarrassment), or 'seine Verlegenheit verbergen' (to hide one's embarrassment).
Aus reiner Verlegenheit begann sie, über das Wetter zu reden.
Out of pure embarrassment, she began talking about the weather.
To express that someone's embarrassment is visible, a dative construction is often used: 'Die Verlegenheit war ihm anzumerken.' (His embarrassment was noticeable.)
Ihm war seine Verlegenheit deutlich anzusehen, als er den Fehler bemerkte.
His embarrassment was clearly visible when he noticed the mistake.
The expression 'jemanden in Verlegenheit bringen' (to embarrass someone) is very common. The person who is put into the embarrassing situation is in the accusative.
Deine indiskrete Frage hat mich wirklich in Verlegenheit gebracht.
Your indiscreet question really embarrassed me.
The meaning 'Notlage' (emergency/predicament) or 'finanzielle Schwierigkeiten' (financial difficulties) is outdated and is now used almost only in formal or literary language. It is very rare in everyday speech.
Der plötzliche Jobverlust brachte die Familie in große Verlegenheit.
The sudden job loss put the family in great difficulty.
uncertainty
Unsicherheit is a general feeling of low self-confidence or social inhibition. Verlegenheit, by contrast, usually arises in a specific embarrassing or unpleasant situation in which you do not know how to react. Use Unsicherheit for lasting inhibition and Verlegenheit for a single embarrassing moment.
Als Nina den Namen ihres Gastgebers vergaß, geriet sie in Verlegenheit.
When Nina forgot her host's name, she became embarrassed.
Wegen ihrer allgemeinen Unsicherheit spricht Nina auf Feiern nur selten mit Fremden.
Because of her general insecurity, Nina rarely talks to strangers at parties.
