Level debt service

Level debt service
Definition:
A municipal Charter provision that Debt payments must be relatively equal from year to year so that required revenue projections are easier. ...

LEVEL DEBT SERVICE - A debt service schedule in which the combined annual amount of principal and interest payments remains relatively constant over the life of the issue of bonds.
Compare: LEVEL PRINCIPAL. See: DEBT SERVICE.

level debt service
A debt service schedule where total annual principal plus interest is approximately the same throughout the life of the bond. This entails a maturity schedule with increasing principal amounts each year.
level principal ...

For example, an issue maturing serially on a level debt service basis over 25 years could have an 'average life' of 16.297 years. (B)Aggregate life of all bonds (in bond years) divided by the number of bonds.

See also: Option, Revenue, Market, Debt, Debt service