A callable bond that is structured in a way that the issuer can recall it only periodically or on discrete dates. In other words, a discretely callable bond is a bond with a discrete call that can be retired only on the next date in the call schedule. For example, the issuer of a discretely callable bond may call it usually at par on semiannual coupon dates over some interval within the issue’s life.

Normally, bondholders will be advised by the trustee of an eminent call, with the call date and call price being specified, some specific period (30, 45, or 60 days) in advance so that bondholders can decide whether to sell the bond or allow it to be called away at the preset call price.