full-faith-and-credit pledge

full-faith-and-credit pledge definition - business

full-faith-and-credit pledge

In a municipal obligation, a pledge of the full financial resources and taxing power of the issuer. A full-faith-and-credit pledge is an important element of general obligation bonds. See also special assessment bond.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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