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DIFFERENCE BETWEEN BONDS AND DEBETURES

In Brief:
• Bonds are more secure than debentures, but the rate of interest is lower
• Debentures are unsecured loans but carries a higher rate of interest
• In bankruptcy, bondholders are paid first, but liability towards debenture holders is less
• Debenture holders get periodical interest
• Bond holders receive accrued payment upon completion of the term
• Bonds are more secure as they are mostly issued by government firms

http://www.differencebetween.com/difference-between-bond-and-debenture/

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