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| | Invest FAQ:Bonds:Zero-Coupon |
 | | Every so often, usually every 6 months, bond owners would take a scissors to the bond, clip out the coupon, and present the coupon to the bond issuer or to a bank for payment. |
 | | For example, a bond may be a zero for the first five years of its life, and pay a stated interest rate thereafter. |
 | | Today, many bonds are issued as "registered" which means even if you don't get to touch the actual bond at all, it will be registered in your name and interest will be mailed to you every 6 months. |
| invest-faq.com /articles/bonds-zeros.html (698 words) |
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