face amount
The value on the face of an instrument.
Examples:
On a check: the amount the bearer may withdraw.
On a loan or mortgage: the amount of money the borrower receives (does not include interest to be repaid).
On a life insurance policy: the amount of money to be paid out at death
Definition from Nolo’s Plain-English Law Dictionary
The original amount due on a promissory note or insurance policy as stated in the document, without calculating interest. (See also: par value)
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:16 pm
