A bond that can be redeemed by the issuer before the stated maturity date Usually, the bond cannot be redeemed before a certain time, say 5 years And often bonds are only callable at certain times If a call date is missed, the bond may not be callable until the next call date The call privilege is to enable the issuer to refund the bonds at a lower interest rate should that occur during the term The yield and value of a bond can be affected by any call privilege Sometimes known as a call feature