Bonds & Rates

Maturity

The date on which a bond’s principal is scheduled to be repaid, subject to issuer terms and credit risk.

Plain-English context

Put the definition to work.

ILLUSTRATIVE EXAMPLE

A bond's principal is scheduled to be repaid at maturity under its terms, subject to issuer payment ability and possible early redemption features.

IMPORTANT DISTINCTION

A scheduled maturity does not prevent default, early call or price loss if you sell before the principal payment.

Further reading and verification. Examples are hypothetical, not current quotes or recommendations. Product terms, tax treatment and market rules can change. Investor.gov — bonds and fixed income

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