U.S. savings bonds stop earning interest after 30 years, though you can hold them longer without penalty

The maturity date of a U.S. savings bond is the point at which it stops earning interest. For Series EE bonds and Series I bonds purchased after May 2003, maturity occurs at 30 years from the issue date. For older EE bonds (issued before May 2003), maturity is 40 years. Once a bond reaches maturity, the principal and all accrued interest remain yours, but no new interest accumulates.

You do not have to cash the bond when it matures. The money stays in the bond indefinitely, and you can redeem it whenever you choose. However, holding a matured bond beyond its maturity date means you are leaving money that could be earning interest elsewhere.

The issue date printed on your bond is what determines when maturity arrives. If you own a Series EE bond issued on June 15, 2000, it will mature on June 15, 2030. The date does not change based on when you purchased it or when you first looked at it—only the date the Treasury issued it matters.

Key Takeaways

  • Series EE and Series I bonds issued after May 2003 mature and stop earning interest at 30 years from their issue date.
  • Older Series EE bonds issued before May 2003 have a 40-year maturity period.
  • You can hold a matured bond indefinitely without penalty, but it will earn no additional interest.
  • The issue date on the bond certificate determines maturity, not the purchase date or when you check the value.
  • You should redeem matured bonds and move the money to an interest-bearing account to avoid losing potential earnings.

How to find the issue date on your bond

The issue date appears on the physical bond certificate or in your TreasuryDirect account. If you own paper bonds, look at the front of the certificate—the date is usually printed near the top or in a clearly marked field. If you hold bonds in TreasuryDirect (the Treasury's online system), log in and view your account holdings; the issue date is listed for each bond.

Once you have the issue date, add 30 years (or 40 years for older EE bonds) to find the maturity date. A Series I bond issued on March 1, 2020, will mature on March 1, 2050. You can also contact the Treasury directly at 1-800-553-2663 if you cannot locate the issue date on an old bond.

What happens when a bond matures

When a bond reaches maturity, the interest payments stop, but your money does not disappear. The bond now holds its final value—the original purchase price plus all interest earned over the 30 or 40 years. You own that full amount and can leave it in the bond or cash it out at any time.

Many people forget about matured bonds and leave them sitting in a drawer or account. This is a missed opportunity: that money could be earning interest in a savings account, money market fund, or other investment. The longer a matured bond sits uncashed, the more interest you lose by not moving it elsewhere.

Series EE bonds issued before May 2003 have different rules

If you own a Series EE bond issued before May 2003, the maturity period is 40 years instead of 30. A Series EE bond issued on January 1, 1995, will not mature until January 1, 2035. After that date, it stops earning interest just like newer bonds do.

The Treasury made this change to the maturity period in May 2003. Bonds issued on or after May 1, 2003, have a 30-year maturity. This means some of your bonds may have different maturity dates depending on when they were issued. Check each bond's issue date individually to know when each one stops earning interest.

What to do with a matured bond

Once your bond matures, you have two choices: cash it or leave it. If you cash it, you receive the full value (principal plus all accrued interest) and can deposit it into a bank account or invest it elsewhere. If you leave it in the bond, the money stays there earning nothing.

The best financial move is usually to cash matured bonds promptly and move the money to an interest-bearing account. Even a basic savings account at a bank will earn more than a matured bond. You can also use the money to pay down debt, add to an emergency fund, or invest it according to your financial plan.

To redeem a paper bond, you can take it to a bank or credit union that handles savings bond redemptions. To redeem a bond held in TreasuryDirect, log into your account, select the bond, and request the redemption. The money is typically deposited into your linked bank account within a few business days.

The difference between maturity and final maturity

The Treasury uses the term final maturity to describe the absolute last date the Treasury will hold a bond. For Series EE and I bonds, final maturity is 30 years (or 40 years for older EE bonds). After final maturity, you must redeem the bond; the Treasury will no longer hold it.

In practice, this distinction rarely matters for individual bond holders. Once a bond reaches its maturity date (30 or 40 years), you should cash it. Waiting until final maturity to redeem is not a strategy—it just means you are leaving money sitting idle.

Tracking multiple bonds with different maturity dates

If you own several bonds purchased over different years, each one will have its own maturity date. A bond issued in 2010 matures in 2040. A bond issued in 2015 matures in 2045. Keeping track of these dates helps you know when to expect each bond to stop earning interest.

TreasuryDirect makes this easier by showing all your bonds in one place with their issue dates and current values. If you own paper bonds, write down the issue date and maturity date for each one and store the list somewhere safe. Set a reminder on your calendar for a few months before each maturity date so you remember to redeem the bond and move the money.

Frequently Asked Questions

Can I cash a bond before it matures?

Yes. You can redeem a Series EE or Series I bond at any time after you have owned it for one year. If you cash it before five years have passed, you lose the last three months of interest as a penalty. After five years, you can redeem it without penalty and receive the full accrued value.

What if I lost a paper bond certificate?

Contact the Treasury at 1-800-553-2663 or visit treasurydirect.gov to report it lost or stolen. You can request a replacement or have the value paid to you. Bring proof of ownership (like a purchase receipt or tax return showing the bond) if you have it.

Do I have to pay taxes when a bond matures?

You owe federal income tax on the interest earned by the bond, but you do not owe it all at once when the bond matures. You can report the interest each year as it accrues, or you can report it all in the year you redeem the bond. State and local taxes do not apply to savings bond interest.

What is the difference between maturity and redemption?

Maturity is when the bond stops earning interest. Redemption is when you cash it in and receive the money. A bond can be matured for years before you redeem it—the money just sits there earning nothing. Redeem matured bonds promptly to put the money to work.

Can I transfer a matured bond to someone else?

You can give a matured bond to another person, but they cannot redeem it without your permission if your name is on it. If you want to transfer ownership, contact the Treasury to change the registration. Otherwise, you should redeem the bond and give them the cash.