What Is A Coupon For Money?
What Is a Coupon? A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a year divided by the face value of the bond in question).
How Does a Coupon Bond Work? Upon the issuance of the bond, a coupon rate on the bond's face value is specified. The issuer of the bond agrees to make annual or semi-annual interest payments equal to the coupon rate to investors. These payments are made until the bond's maturity.
Guide, Examples, How Coupon Bonds Work - Corporate Finance Institute
In marketing, a coupon is a ticket or document that can be redeemed for a financial discount or rebate when purchasing a product.
Coupon - Wikipedia
What is an example of a coupon?
A paper entitling you to 10 percent off of a meal in a restaurant is an example of a coupon. The part of a savings bond that you can detach and use to redeem interest payments is an example of a coupon. One of a set of small certificates that may be detached from a bond certificate and redeemed for interest payments.
Best 12 Definitions of Coupon - YourDictionary