Types of DebenturesRegistered vs. BearerWhen debts are issued as debentures, they may be registered to the issuer. In this case, the transfer or trading in these securities must be organized through a clearing facility that alerts the issuer to changes in ownership so that they can pay interest to the correct bondholder. A bearer debenture, in contrast, is not registered with the issuer. The owner (bearer) of the debenture is entitled to interest simply by holding the bond.Redeemable vs. Irre...
