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  • June 21, 2024
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Contractual Maturity

The date that is set out in the terms of a financial instrument on which the last payment or receipt (of its interest and or principal) under the contract is due for settlement. For example, contractual maturity may refer to the final payment date of a loan, at which point all the remaining outstanding principal amounts will be repaid and interest is due to be paid. At contractual maturity date, the instrument reaches it expiration point, and ceases to exist.


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