Face Value
The nominal value of a bond repaid at maturity.
What is Face Value?
Face value — also called par value or principal — is the amount a bond issuer promises to repay to the bondholder at maturity. Most bonds have a face value of $1,000. Coupon payments are calculated as a percentage of face value. A bond trading at a price equal to its face value trades "at par"; above face value is a "premium" and below is a "discount." The market price diverges from face value as interest rates change: rising rates push prices below par, falling rates push them above.
Example
A $1,000 face value bond with a 5% coupon pays $50 per year in interest. If market rates rise to 7%, the bond's price falls below $1,000 so new buyers receive the equivalent 7% yield to maturity.
Source: Investopedia — Par Value