Coterminous refers to municipalities that share the same borders and have overlapping debt.
In certain instances two municipalities will be responsible for the same municipal debt issue.
Ex: A city located within a county may issue a bond that is backed by both the full faith and credit of the city and the county. The debt is then said to be shared, or coterminous debt.
2024 © Securities Institute, All Rights Reserved.
Privacy Policy | Terms of Service.