The call price is usually above par. The company must also include dates on which it can legally begin to order its bonds redeemed. A put provision is the privilege whereby the bondholder may redeem a bond at its face value before it matures. Investors may want to do this when interest rates are rising and they can take advantage of higher rates elsewhere. The issuer assigns dates for this provision, after which the bondholders may then redeem the bonds.
Convertibility is the option of converting a bond into stock.
Bonds with this feature are called convertible bonds. They give the investor the option to convert the bond into the issuing company's stock, usually the company's common stock. Conversion must occur at specified times, at specified prices and under specified conditions set in writing at the time of issue. Bonds can be callable and convertible in one. With this provision, the company may have the option to pay investors in stock.