Debt Service
The amount of principal and interest required to be paid on an issue of bonds.
bond-basics
Bona Fide Debt Service Fund
A fund used primarily to achieve a proper matching of revenues and Debt Service within each Bond Year that is depleted at least once each Bond Year except for a reasonable carryover amount that does not exceed the fund earnings for the immediately preceding Bond Year or 1/12 of the Debt Service for the immediately preceding Bond Year.
See Also
Bond Year
For tax purposes, a twelve-month period which ends on a date selected by the issuer for the purpose of the arbitrage rules.
