Interest Rate
The rate expressed as a percentage of the principal amount of a bond used to determine the amount of interest to be paid by the issuer or the borrower.
bond-basics
Interest
The amount of compensation for the use of borrowed money paid to the bondholders by the Issuer or the Borrower. The amount of Interest paid by the Issuer or the Borrower is based on the Interest Rate for the Bond and the time between each Interest Payment Date.
Preparing Bonds
Learn about over various terms and concepts that may arise while preparing a bond issue.
See Also
Interest Payment Dates
The dates when interest on a bond is payable, usually semiannually and usually on the first or fifteenth day of the month.
Principal
The face amount or par amount of a bond, not including interest, payable on its maturity date.
Start with the Bond Basics
Hundreds of Terms and Concepts
General Obligation Bond Payable from General Fund (“GFGO”)
A type of general obligation (GO) bond not secured by a specific pledge of taxing power, and in which the issuer cannot be compelled to increase taxes.