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PIK

American  
Or p.i.k.

noun

  1. payment in kind.


Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

In 2025, for example, Ares collected about $130 million in past-period PIK interest from loans and another $150 million for previously deferred PIK dividends from preferred stock.

From Barron's • May 6, 2026

“As with all investments, PIK investments are underwritten with the same discipline as cash pay loans, with a strong focus on structure, leverage, and exit protections.”

From Barron's • May 6, 2026

Since investors prefer to get their dividends in cash, a fund that’s getting more of its interest as PIK must find the cash for dividends elsewhere—or cut the dividend.

From Barron's • May 6, 2026

A decade ago, PIK was 8% of its net investment income.

From Barron's • May 6, 2026

The ratings firm says nonbank direct lenders known as BDCs show increased signs of stress with the rise in interest from PIK loans.

From The Wall Street Journal • Mar. 31, 2026

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