registered bond

A bond entered on the books of the issuing corporation or of its transfer agent in the name of the purchaser, whose name also appears on the face of the bonds.

Either principal alone or both principal and interest may be registered. A bond the number of which is recorded by the seller in the name of the purchaser and which only the latter, or one legally authorized to act for him, can redeem. Principal of such a bond and interest, if registered as to interest, is paid to the owner listed on the books of the issuer, as opposed to a bearer bond where the possessor of the bond is entitled to interest and principal. The bonds of the United States government (and of many municipal and private corporations) are either registered or "coupon bonds."

In the case of a registered bond, the name of the owner or lawful holder is entered in a register or record, and it is not negotiable or transferable except by an entry on the register, and checks or warrants are sent to the registered holder for the successive installments of interest as they fall due. A bond with interest coupons attached is transferable by mere delivery, and the coupons are payable, as due, to the person who shall present them for payment. But the bond issues of many private corporations now provide that the individual bonds "may be registered as to principal," leaving the interest coupons payable to bearer, or that they may be registered as to both principal and interest, at the option of the holder

+ registered bond

A bond which is registered on the books of the issuing company in the name of the owner. It can be transferred only when endorsed by the registered owner.