A bearer bond is a bond owned by the person who has possession of it (the bearer). The issuer of the bond keeps no record of the persons or institutions to whom the bond has been issued or of who currently holds it (thus, the bond is called "unregistered"). The bond itself includes detachable certificates called coupons which denote interest due the bearer on specific dates. Interest on these coupons can be collected by submitting them to the proper authority.
It is a security which does not have the owner's name on the certificate. Interest and principal are paid to the person presenting the attached coupons to the agents for payment.