Book-entry bond

Definition of Book-entry bond

: a bond whose ownership is recorded by computer but for which no certificate is issued

Book entry bond refers to a bond whose ownership is recorded by computer but for which no certificate is issued. Book entry bonds are not available on paper. The details of the Book entry bonds are stored in computer in the form of book entries. Book entry bonds do not issue certificates but the computer maintains all the records regarding ownership and other details. Since 1981, US treasury department has been using Book entry method to determine the ownership of a particular bond. Book entry bonds are low cost, easy to maintain or update and easy to access the records. Book entry bonds are also known as book receipts.

See Also

Accrual Bond
ACH Debit Entry
Additional Bond Test
Adjusting Entry
Adjustment Bond
American Municipal Bond Assurance Corporation
Ancillary Bond
Appeal Bond
Arbitrage Bond
Assumed Bond
Book-Entry Sallie Mae Security
Book-Entry Security
Book-Entry System
Book Inventory