Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

How does a Church repay principal and interest on its bond issue?

April 26, 2017Bond church ISSUE Principal repay

0

Posted

How does a Church repay principal and interest on its bond issue?

1 Answer

0

Posted

Churches deposit a portion of its weekly or monthly income into its sinking fund account with the Trustee. This account is established to ensure an orderly payment of principal and interest to the bondholders. The Church is under contract, made in advance of the bond issue, that payment of principal and interest on its bond issue will be made prior to other operating expenses being paid.