Issuer

An issuer is an organization or institution that creates and sells financial instruments like bonds or credit cards. For example, a government or corporation issuing bonds to raise funds or a bank issuing credit cards to consumers. The issuer is responsible for the terms of the instrument, such as paying interest or providing credit. When you buy a bond, the issuer promises to pay you back with interest; when you use a credit card, the issuer extends you credit that you agree to repay. Essentially, the issuer is the entity that creates and backs the financial product.