Trading a debt security like a bond/ note at a price exceeding its par value (face value). Face value/ par value (also, principal) is the amount the debt security was issued for. It is the amount a debt security issuer promises to pay the buyer/ holder at maturity.

For example, if the par value of a bond is USD 1,000 and it is currently selling at USD 1,100, this bond is said to be selling at a premium (with the difference being the so-called bond premium). A bond selling at a premium is a premium bond.

The opposite scenario is a debt security selling at a discount (below par).

At a premium is also referred to as above par.