§ 16770 Bond Payment Obligations

• •The State Treasurer must pay back bonds when they are due.
• •If bonds are called early for redemption, they must be paid on the set date.
• •Coupons attached to bonds must also be paid on their due dates, unless the bond was already paid early.
• •Payments are made as soon as the bonds or coupons are handed over to the State Treasurer or their agents.

Imagine you lend money to the state by buying a bond that promises to pay you back in 10 years.

When those 10 years are up, the State Treasurer must give you your money back. If the state decides to pay you back early, they still have to pay you on the date they promised. It’s like if you lent your friend $10 and they said they’d pay you back on Friday, but then they pay you on Wednesday instead—either way, they have to give you your money when they say they will.