T-bills are short-term obligations issued with a term of one year or less, and because they are sold at a discount from
face value, they do not pay interest before
maturity.
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What's the difference between bills, notes and bonds? | Investopediat the U.S. government sells in order to pay off maturing debt and to raise the cash needed to run the federal government. When you buy one of these securities, you are lending your money to the government of the U.S.
Understanding T-bills
<span>T-bills are short-term obligations issued with a term of one year or less, and because they are sold at a discount from face value, they do not pay interest before maturity. The interest is the difference between the purchase price and the price paid either at maturity (face value) or the price of the bill if sold prior to maturity.
For example, an invest Summary
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