Debt

1. Noun.

That which is owed to another, usually money.

For the borrower, debt is a liability.

2. Borrowing.

From the perspective of the borrower, finance from borrowing, rather than from investment by equity shareholders.

3. Lending.

From the perspective of a lender or investor in debt, an investment in the obligations of the borrower.

For the lender or investor, debt is an asset.

See also

• Advance
• Alternative Credit Council (ACC)
• An introduction to debt securities
• An introduction to loan finance
• Assets
• Bad debt
• Bond
• Building a Debt IR function
• Capital
• Capital employed
• Capital structure
• Commissioner of the Public Debt
• Convertible debt
• Cost of debt
• Debenture
• Debt capacity
• Debt capital
• Debt capital market (DCM)
• Debt ceiling
• Debt for equity swap
• Debt Management Office (DMO)
• Debt security
• Debt service ratio
• Debt structure
• Debt to equity ratio
• Default
• Discharge
• Entity
• Equity
• Financial markets
• Green debt
• Hybrid capital
• Interest
• Investor
• Junior debt
• Lead
• Leverage
• Leveraged takeover
• Liabilities
• Loan
• Loan relationship
• Long-term debt
• Moratorium
• Net debt
• Non-current liabilities
• Obligation
• Pay down
• Public debt
• Rescheduling
• Return on capital employed
• Secured debt
• Security
• Senior debt
• Service
• Sovereign debt
• Statutory debt
• Subordinated debt
• Sustainable debt
• Term debt
• Unsecured debt
• Venture debt

Other resource

• Masterclass: The basics of borrowing, Will Spinney, The Treasurer