Municipal bonds FAQ

Is there a minimum investment amount? - The minimum investment amount is $10,000 and municipals then trade in increments of $5,000.
What is the interest payment schedule for muni bonds? - Munis typically pay interest every six months and pay back your principal on the maturity date.
Is there a set price? - They typically start trading at $1,000, the price after that is determined by market price.

One Response to “Municipal bonds FAQ”

  1. September 30th, 2007 at 11:36 pm #The Naked Guide to Bonds review - alex.moskalyuk

    [...] of the reasons you might be looking into the bond market is tax-free municipal bonds, which are exempt from federal income taxes, and exempt from the state income taxes, if the bonds [...]

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