Mar 26, 2016 · What Exactly Are Bonds and How Do They Work? Bonds are long-term lending agreements between a borrower and a lender. For example, when a municipality (such as a …

When you buy a bond, you’re essentially loaning that money to the bond “issuer,” aka seller. In exchange, the bond issuer pays you regular interest payments. Then, when the bond …

Aug 20, 2025 · How Do Bonds Work? A bond is simply a loan taken out by a company. The company gets the money from investors who buy its bonds instead of going to a bank.

Jul 13, 2025 · What is a bond? This beginner's guide explains how bonds work as investments, their benefits, and how to start buying them for your portfolio.

Nov 18, 2025 · When you purchase a bond, you provide a loan to an issuer (like the federal government, a municipality, or a corporation) for a set period of time. In return, the bond issuer …

A bond is when you lend money to an entity or government. In return, the entity or government will pay back your money at the maturity date, in addition to interest payments.

Learn about the fundamentals of bonds, where we explore their role in the financial market, different types, and how they can be a valuable part of your investment strategy. Bonds 101. A …