Electronic or Paper?

You can purchase savings bonds electronically through the TreasuryDirect Web site. No physical certificate will exist. TreasuryDirect allows you to buy, track, change registration, and redeem your bond—all electronically via a secure online account.

Not ready to buy savings bonds in cyberspace? You can purchase a paper bond through thousands of banks and other financial institutions, and through payroll deduction programs. Remember: When you purchase a paper bond, it is up to you to keep it safe. To change the bond's registration, you will need to go to a bank, credit union, or your employer (if you're investing through payroll deduction). Though you can obtain change of registration forms from TreasuryDirect online to redeem a paper bond, you present the physical bond to your bank or credit union where you'll be given the cash value.

Taking Savings Bonds at Face Value Whether you buy savings bonds electronically or in paper form, most savings bonds are sold at face value in amounts from $25 to $30,000. This means that if you buy a $100 bond, it costs you $100, on which you earn interest. Exception: The Series EE savings bond is sold in paper form at one-half its face value. A $100 paper EE bond costs you $50, with interest and taxes paid by the buyer—federal tax only—when the bonds are cashed in. Note: Electronic EE bonds and all Series I bonds, including paper bonds, are sold at face value. While electronic bonds are available in any amount from $25-$30,000, paper bonds are only available in denominations of $50, $75, $100, $200, $500, $1,000, $5,000 and $10,000.

Remember to Redeem!

Always check the savings bond's issue dates to find out if it is still earning interest. Depending upon the date that you purchased your securities, it may be time to redeem them.