You can cash savings bonds at your bank, credit union, or the U.S. Treasury

The easiest place to cash a savings bond is your own bank or credit union. Most financial institutions will cash Series EE and Series I bonds without charge if you have an account there. You bring the bond certificate itself, your ID, and sign the back of the bond in front of a bank employee. The money goes into your account the same day or within one business day.

If your bank declines to cash it — some smaller branches or credit unions do not handle bonds — you can cash it directly through the U.S. Treasury at TreasuryDirect.gov. This requires setting up a free account online, uploading images of the front and back of the bond, and providing your bank details for a direct deposit. The Treasury typically processes these requests within five business days.

A third option is your bond's issuing bank if you bought it there originally, though this is slower and less common now that most bonds are digital.

Key Takeaways

  • Your bank or credit union will cash Series EE and Series I bonds the same day if you have an account there and bring your ID and the physical bond certificate.
  • If your bank will not cash it, you can redeem it through TreasuryDirect.gov by uploading images and providing bank details for direct deposit.
  • You must sign the back of the bond in front of a bank employee; signing it beforehand will not work.
  • Savings bonds can only be cashed after they have reached their issue date, and cashing before five years have passed means you lose the last three months of interest.

What you need to bring to your bank

Bring the physical bond certificate itself, a valid photo ID, and your account number if you have one at that bank. Do not sign the back of the bond before you arrive — the bank employee must watch you sign it. If you are cashing a bond registered to someone else (a deceased parent, for example), you will need a death certificate and proof that you are the rightful owner, which varies by state.

Some banks ask for a thumbprint in addition to your signature. A few large banks process bonds during specific hours or at specific branches, so call ahead if you are going to an unfamiliar location.

How TreasuryDirect redemption works step by step

Go to TreasuryDirect.gov and create a free account using your Social Security number and email. You will need to verify your identity through a third-party service, which takes a few minutes. Once your account is set up, log in and select "Redeem a Bond."

Upload clear photos of the front and back of your bond certificate. The system will read the bond's series, denomination, and serial number from the images. You will then enter your bank account number and routing number for the deposit. The Treasury sends the funds by direct deposit, which typically arrives within five business days but can take longer during high-volume periods.

If your bond is a paper Series I bond issued before 2012, you may need to mail it to the Treasury instead. Check the bond itself or call the Treasury's customer service line at 844-284-2676 to confirm which method applies to your bond.

Timing rules: when you can actually cash a bond

You cannot cash a savings bond before its issue date has passed. For most bonds, this means waiting at least one day from purchase, though some bonds have a longer holding period. Check your bond certificate or your TreasuryDirect account to see the exact issue date.

If you cash a bond before it has been held for five years, you lose the last three months of interest. For example, if you cash a Series EE bond after four years and six months, you receive only four years and three months of interest. This penalty does not apply if you hold the bond for five years or longer.

Series I bonds have an additional rule: they cannot be cashed during the first year of ownership. After one year, you can cash them anytime, but you still lose three months of interest if you cash before five years.

What happens if the bond is registered to someone else

If a bond is registered in your name but someone else owns it, or if you inherited a bond, the process depends on how the bond is registered. A bond registered as "John Smith" can only be cashed by John Smith. A bond registered as "John Smith or Jane Smith" can be cashed by either person. A bond registered as "John Smith for Jane Smith" (with "for" instead of "or") is held in trust, and only John Smith can cash it during his lifetime.

If the original owner has died, you will need a certified death certificate and proof of your relationship or legal authority to inherit. Requirements vary by state and by whether you are cashing at a bank or through the Treasury. Contact your bank or call the Treasury at 844-284-2676 before you visit in person.

Cashing bonds held in a brokerage or investment account

If you own savings bonds through a brokerage account like Fidelity or Charles Schwab, you cannot cash them at a bank. Instead, contact your brokerage directly and request a redemption. The brokerage will handle the transaction with the Treasury and deposit the funds into your brokerage cash account, usually within three to five business days. You can then transfer the money to your bank if you wish.

Bonds held in a brokerage are often easier to track and redeem because the brokerage keeps records and handles the paperwork. However, you may pay a small transaction fee, depending on your brokerage's policies.

Tax reporting when you cash a bond

When you cash a savings bond, the interest you earned is subject to federal income tax. The bank or Treasury does not withhold taxes automatically — you report the interest on your tax return for the year you cashed the bond. Keep the receipt or confirmation from your bank or TreasuryDirect as proof of the redemption amount.

Series I bonds and Series EE bonds are treated the same way for tax purposes. The interest is not subject to state or local income tax in most states, but you should check your state's rules. If you cashed the bond in a year when your income was very low, you may owe no federal tax on the interest.

Frequently Asked Questions

Can I cash a savings bond at any bank, or only my own bank?

Most banks will cash a savings bond even if you do not have an account there, but they may charge a fee or require you to open an account. Your own bank is the fastest and cheapest option. If your bank refuses, TreasuryDirect is always free.

What if I lost the physical bond certificate?

If you own a paper bond and lost it, contact the Treasury at 844-284-2676 or visit TreasuryDirect.gov to report it. You can request a replacement or, if the bond was issued after 2012, you may be able to redeem it through your TreasuryDirect account without the physical certificate. Bring a police report of the loss if you have one.

How long does it take to get the money after I cash a bond?

At a bank, you receive the money the same day or within one business day. Through TreasuryDirect, direct deposit typically takes five business days but can be longer during peak periods. Brokerage redemptions usually take three to five business days.

Do I have to cash the entire bond, or can I cash part of it?

You must cash the entire bond. You cannot redeem half of a $100 bond and keep the other half. If you need only part of the money, you have to cash the full amount and then decide what to do with the proceeds.

What if the bond is worth more than I expected?

Savings bonds earn interest every month, so the redemption value is always higher than the purchase price. The bank or Treasury will tell you the exact current value before you sign. If you are surprised by the amount, you can ask to see the calculation, but you cannot negotiate it — the value is set by the Treasury.