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TeachMeFinance.com - explain Funded debt historic definition... Funded debt -- General outstanding debts which have been converted into bonds or annuities . Funded debt is a term for the liabilities of the British government such as have been issued in the form of permanent or long-dated securities, as distinguished from the floating debt, which is in the form of Exchequer bonds and Treasury bills and is regarded as temporary. The distinction is not clearly drawn. About the author Mark McCracken Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English". Copyright © 2007 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional financial or legal advice. TeachMeFinance.com and its owner recommend consultation with a professional financial advisor prior to any investment or financial decision. Please read our disclaimer.