What are Savings Bonds?
A savings security issued by the U.S. Treasury or an authorized agent showing that money has been loaned to the U.S. Government and is payable to the person to whom it is registered. A "savings bond" is designated as such in the regulations offering the bonds for sale. The bond is a contract between the government and the bond owner. Each bond is a registered security for which a record is maintained by the Bureau of the Public Debt.
Big changes have been made to U.S. Savings Bonds
As you may already know, The U.S. Department of the Treasury ended over-the-counter sales of paper savings bonds on December 31, 2011, including sales through financial institutions and applications mailed directly to the Federal Reserve Bank by customers. You can buy electronic savings bonds online through TreasuryDirect
. This move is expected to save taxpayers an estimated $70 million over the next five years.
Although paper bonds are being discontinued, electronic Series EE and Series I Savings Bonds will remain available for purchase via TreasuryDirect
. This secure, web-based system, operated by the Bureau of the Public Debt, has been used by investors since 2002 to purchase savings bonds online. In addition, with a TreasuryDirect
account, customers can purchase electronic savings bonds as gifts and also convert paper savings bonds to electronic.
If you already have a Savings Bond
If you already have a Savings Bond, simply bring it to any branch of TrueCore when you're ready to redeem it. To check its value, or to redeem it electronically, visit TreasuryDirect
. Paper bonds which have not yet matured but are lost, stolen or destroyed can be reissued in paper or electronic form.