Where to redeem your savings bonds

You can redeem savings bonds at most banks and credit unions, or directly through the U.S. Department of the Treasury. The easiest route depends on whether your bonds are paper or digital.

For paper bonds, walk into any bank or credit union where you have an account and ask to redeem them. You do not need to be a customer there — many banks will cash them for non-members, though some charge a small fee. Bring the bonds themselves and a photo ID. The teller will verify the bonds are genuine, check that they have reached final maturity (if applicable), and deposit the cash into your account or give you a check.

For digital bonds held in TreasuryDirect (the Treasury's online system), you redeem them directly through your TreasuryDirect account without visiting a bank. Log in, select the bonds you want to cash, and request the redemption. The money goes into the bank account linked to your TreasuryDirect profile, usually within a few business days.

Key Takeaways

  • Paper bonds can be cashed at most banks and credit unions with just the bond and a photo ID; digital bonds are redeemed through your TreasuryDirect account online.
  • Series EE and I bonds must reach their final maturity date (30 years from issue) before you can redeem them, though you can redeem them earlier and lose some interest.
  • If a paper bond is lost, stolen, or destroyed, you can file a claim with the Treasury and request a replacement or payment.
  • The Treasury withholds federal income tax on the interest portion of your redemption unless you instruct them otherwise.

Timing rules: when you can actually cash them

The rules differ by bond type. Series EE bonds can be redeemed anytime after one year from purchase, but if you redeem them before five years have passed, you lose the last three months of interest. After five years, you can redeem them without penalty. Series EE bonds stop earning interest after 30 years, so cashing them by year 30 is important if you want the full value.

Series I bonds follow the same one-year minimum and five-year penalty rule. If you redeem an I bond before five years, you forfeit the last three months of interest. I bonds also stop earning interest after 30 years.

Series HH bonds (no longer sold but still held by many people) can be redeemed anytime after six months, with no penalty. They mature after 20 years.

If you try to redeem a bond before it meets the timing requirement, the bank or TreasuryDirect will reject the request. You must wait until the bond is may be able to access.

What documents you need for paper bonds

Bring the physical bond certificate and a government-issued photo ID (driver's license, passport, or state ID). That is all most banks require. If you are redeeming bonds on behalf of someone else — as a guardian, executor, or power of attorney — bring the bond, your ID, and documentation of your authority (guardianship papers, will, or power of attorney document).

If the bond is registered to two people and both names are on it, both people should be present to sign. If one owner is deceased, the surviving owner can redeem it, but bring a death certificate so the bank can update its records.

For digital bonds in TreasuryDirect, you need only your login credentials. The system already has your identity on file.

Tax withholding and reporting

When you redeem a savings bond, the interest you earned is subject to federal income tax. The Treasury does not automatically withhold tax from your redemption — the interest is reported to you on a Form 1099-INT at the end of the year, and you pay tax on it when you file your return.

However, if you redeem bonds through TreasuryDirect, you can request that the Treasury withhold federal income tax from your redemption. This is optional. If you choose withholding, the Treasury will hold back a percentage of the interest and send it to the IRS on your behalf, reducing the amount deposited into your bank account. You can adjust your withholding preference in your TreasuryDirect account settings.

State and local taxes on bond interest vary by location. Some states do not tax federal bond interest; others do. Check your state's tax rules or consult a tax professional if you are unsure.

Replacing lost, stolen, or destroyed bonds

If a paper bond is lost, stolen, or damaged beyond use, you can file a claim with the Treasury to request a replacement or payment. Contact the Treasury's Savings Bonds Division by mail or phone. You will need to provide the bond serial number (if you have it), the issue date, the series, and the denomination. If you do not have the serial number, provide as much information as you can remember about when and where you bought it.

The Treasury will investigate and, if satisfied that the bond is lost or destroyed, either issue a replacement bond or pay you the redemption value. This process takes several weeks to several months. Keep receipts or purchase confirmations if you have them — they speed up the claim.

Digital bonds in TreasuryDirect cannot be lost in the traditional sense because they exist only in the online system. If your TreasuryDirect account is compromised, contact the Treasury immediately to secure it.

Redeeming bonds held by a minor

If the bond is registered in a child's name, a parent or legal guardian can redeem it on the child's behalf. Bring the bond, your ID, and documentation of guardianship (birth certificate or court order). Some banks may require the child to be present and sign the redemption form, even if they are very young — policies vary.

If the bond is in a custodial account (set up under the Uniform Transfers to Minors Act), the custodian can redeem it. Once the child reaches the age of majority (18 or 21, depending on your state), the account transfers to the child's control, and they must redeem it themselves.

What happens if the bank refuses to redeem your bond

Banks occasionally refuse to redeem savings bonds because they believe the bond is counterfeit, the signature does not match the ID, or the bond has already been redeemed. If this happens, ask the bank why. If you believe the refusal is an error, you can redeem the bond directly through TreasuryDirect (if it is a digital bond) or file a claim with the Treasury (if it is paper).

Some smaller banks or credit unions do not redeem savings bonds at all. If your bank declines, try another bank in your area or contact the Treasury directly. The Treasury can always redeem a legitimate bond, though the process is slower than a bank redemption.

Frequently Asked Questions

Can I redeem a savings bond before it reaches final maturity?

Yes. Series EE and I bonds can be redeemed anytime after one year from purchase. If you redeem before five years have passed, you lose the last three months of interest. After five years, there is no penalty. The bond stops earning interest after 30 years, so redeeming by then captures the full value.

What if I lost the serial number of my paper bond?

You can still redeem it at a bank if you have the physical bond itself — the bank will read the serial number from the certificate. If the bond is lost, contact the Treasury's Savings Bonds Division with as much information as you remember: the issue date, series, denomination, and where you bought it. A receipt or purchase confirmation helps.

Do I have to pay taxes on the interest when I redeem?

The interest is subject to federal income tax, reported on Form 1099-INT. You pay tax on it when you file your return. The Treasury does not automatically withhold tax, but you can request withholding through TreasuryDirect. State and local tax rules vary by location.

Can I redeem a bond that is registered to someone else?

Only the registered owner can redeem it, unless you have legal authority (power of attorney, guardianship, or executor status). Bring documentation of your authority along with the bond and your ID.

How long does it take to get the money after I redeem?

At a bank, you usually get the cash or a check the same day. Through TreasuryDirect, the money deposits into your linked bank account within a few business days. If you file a claim for a lost bond, the process takes several weeks to several months.