- Mortgage/secured debentures; these are debentures which have a security attached to them or some property pledged against them. These debentures are fully backed up by some company assets.
- Naked/un secured debentures; these are debentures which have no security attached to them hence in case of failure of the company to pay, the debenture holder has no right to sell the companys property to recover his money.Redeemable debentures; these are debentures that are bought back by the company after a given period of time and the debenture holder is given interest for the period held.
- Irredeemable debentures; these are debentures that are not bought back by the company hence the money borrowed remains owing until the company is dissolved.
