bond discount

noun

A reduction from the face amount of a bond that occurs where bonds are sold on the market for cash at a price less than the face amount. Since bonds mature years after issue, they are discounted to reflect present value.

Meanings

nounbond discount (plural bond discounts)

plural bond discounts

  1. lawA reduction from the face amount of a bond that occurs where bonds are sold on the market for cash at a price less than the face amount. Since bonds mature years after issue, they are discounted to reflect present value.
Cite this entry
APA

bond discount. (n.d.). In WatkinsX Dictionary. Retrieved November 4, 2026, from https://dictionary.watkinsx.com/word/bond%20discount

MLA

“bond discount.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/bond%20discount. Accessed November 4, 2026.

Chicago

WatkinsX Dictionary, s.v. “bond discount,” accessed November 4, 2026, https://dictionary.watkinsx.com/word/bond%20discount.

Source: bond discount on Wiktionary, CC BY-SA 4.0.