A remedy sometimes available under an Indenture, Bond Resolution or other financing document which permits the Trustee or bondholder to declare all future payments of Principal immediately due and payable after the occurrence of certain specified Events of Default.

See Also


The face amount or par amount of a bond, not including interest, payable on its maturity date.


Breach of a covenant, promise or duty imposed by the bond, bond resolution/ordinance, an indenture or other financing document.

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Escrow Fund

Trust account established in the escrow deposit agreement that holds cash, investments, usually obligations of the federal government or, sometimes, federal agencies, or both, all of which are pledged to the payment of the debt service of the refunded bonds.