Business / Taxes / Coupon Rate: The coupon rate is the interest rate that the issuer of a bond or other debt security promises to pay during the term of a loan. For example, a bond that is paying 6% annual interest has a coupon rate of 6%. The term is derived from the practice, now discontinued, of issuing bonds with detachable coupons. To collect a scheduled interest payment, you presented a coupon to the issuer or the issuer's agent. Today, coupon bonds are no longer issued. Most bonds are registered, and interest is paid by check or, increasingly, by electronic transfer.
Rate Verb Synonyms: measure, pace, gait, speed, velocity, clip
Rate Noun Synonyms: rank, grade, class, classify, evaluate, estimate, calculate, compute, count, reckon, judge, gauge, assess, appraise, measure
Business / Finance / Coupon: A type of active international management that measures the contribution to performance attributable to investing in the better-performing stock markets of the world. MORE
Business / Finance / Inverse Floating-Rate Note: A variable-rate security whose coupon rate increases as a benchmark interest rate declines. MORE