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Finance Glossary

Just call us Bond. Amortized bond.

Over 700 finance terms, Shmooped to perfection.

Coupon

Definition:

They're on the back of cereal boxes and today found at coupons.com en masse. You fight with a scissors to clip them out and mail them in - those who bother to make that effort save money. Coupons also apply to bonds. A normal vanilla bond pays its interest twice a year. A $500,000 , 8% coupon bond pays $20,000 twice a year.

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