BestCreditCard Home
BestCreditCard Home
BBB
Only BestCreditCard Finds the Best Card
Based on How You Spend.

What are the different bonds you can buy for your investing account?

A brief summary of the various types of bonds you can invest in.
Raghav
Raghav Rasal

July 22, 2020

See Best Credit Cards by Category:
All content is written by editorial staff or writers engaged by the site, not by marketers/sales staff. Editors responsible for producing the content are not in contact or affiliated with any advertiser and are not compensated based on success of the affiliate links. All decisions regarding recommendations are determined separately from advertising relationships. Any opinions, analyses, reviews or recommendations expressed are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.

This Offer Is Not Available

This offer is not currently available on BestCreditCard. Please take a look at similar offers!

Bonds are forms of debt security issued by the organizations and governments that can be sold to investors for investment. A bond is essentially a type of loan from the issuer’s perspective. When an organization requires funds to complete a business process, it can issue bonds for people to invest in. After the loan period is over, the company pays back the investor in full. During the period of the loan, the company pays interest to the investor, which is often known as a coupon. 

There are four main issuers of bonds:

  • Corporate bonds - these are bonds issued by firms in order to secure capital for their business processes. 
  • Municipal bonds - these types of bonds are issued by municipalities, some of which even offer tax free coupons for investors. 
  • Government bonds - these are bonds usually issued by the US treasury. Government bonds usually have a maturity (period of time within which the investor receives interest payments) of greater than 10 years. If the maturity period lasts less than 10 years, they are referred to as ‘notes’.
  • Agency bonds - these are bonds issued by organizations that are affiliated with the government. 

Bonds can be purchased through various electronic markets, however they do come along with fairly high commissions. It is therefore important to always study the details of a bond before investing in it.


Serious Security

We encrypt data you share with us to ensure your experience is both easy and safe.

100% Free

BestCreditCard is completely free. Making the right financial decision shouldn’t cost you.
General Disclaimer
The card offers that appear on this site are from companies from which BestCreditCard receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). BestCreditCard does not include all card companies or all card offers available in the marketplace.
Editorial Disclaimer
All content is written by editorial staff or writers engaged by the site, not by marketers/sales staff. Editors responsible for producing the content are not in contact or affiliated with any advertiser and are not compensated based on success of the affiliate links. All decisions regarding recommendations are determined separately from advertising relationships. Any opinions, analyses, reviews or recommendations expressed are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.
Approval Odds
BestCreditCard calculates your approval odds by comparing your credit profile to other BestCreditCard members who were approved for this product. These approval odds are estimates only and do not guarantee approval. Credit card issuers use a variety of different types of credit scores and criteria to make credit decisions. The TransUnion credit score we provide is based on the VantageScore 3.0 model and may not be the credit scoring model used by financial institutions presenting offers on our website.