The three places you can cash a savings bond
You can redeem a savings bond at your bank, through the U.S. Treasury's TreasuryDirect website, or by mail to the Bureau of the Fiscal Service. Most people use their bank because it's the fastest and requires no paperwork beyond what the teller asks for. TreasuryDirect works if you own electronic bonds and want to avoid a trip. The mail route exists but takes weeks and is rarely the best choice unless your bank refuses to help.
The method you choose depends on whether your bond is paper or electronic, how quickly you need the money, and whether you want to handle it in person or online. Each route has different requirements and timelines.
Key Takeaways
- Your bank is usually the fastest way to cash a paper savings bond, often within one business day, and most banks do this for free.
- TreasuryDirect lets you redeem electronic bonds online in minutes, but you must have created an account and registered the bond there first.
- Paper bonds require your signature in front of a bank officer or notary, and you must bring a photo ID and the physical bond certificate.
- The Treasury will redeem bonds by mail, but the process takes four to six weeks and requires specific forms and documentation.
- Series I and Series EE bonds have redemption rules: you lose the last three months of interest if you cash them before five years, and you owe federal income tax on the earnings.
Cashing a paper bond at your bank
Walk into any bank where you have an account and ask to redeem a savings bond. Bring the physical bond certificate, a photo ID, and your account information. The teller will ask you to sign the bond in front of them—this is required by law and cannot be done beforehand. If you don't have an account at that bank, some will still cash it, but policies vary; call ahead to confirm.
The bank verifies the bond's serial number and value, confirms you are the registered owner or an authorized representative, and deposits the money into your account or gives you cash. Most banks complete this same day or the next business day. There is no fee for this service at most institutions, though a few may charge a small amount if you're not a customer. Ask before you hand over the bond.
If the bond is registered to someone else and you are the beneficiary or co-owner, bring documentation proving your relationship—a marriage certificate, birth certificate, or court order. The bank will tell you what they need. If the original owner has died, the process is more complex and may require a death certificate and proof of your authority to act on their behalf; call the bank first to understand their requirements.
Redeeming electronic bonds through TreasuryDirect
If you own electronic Series I or Series EE bonds purchased through TreasuryDirect, you can redeem them online without leaving home. Log into your TreasuryDirect account, navigate to the "Manage My Securities" section, select the bond you want to cash, and request redemption. The money appears in your linked bank account within one to three business days.
You must have set up a TreasuryDirect account before you can redeem this way. If you bought the bond through a bank or broker instead, it is not in TreasuryDirect and you cannot use this method. Check your bond documents or contact the institution where you purchased it to find out where it is registered.
TreasuryDirect charges no fee for redemption. The process is straightforward if you remember your login credentials. If you have forgotten your password, use the "Forgot Password" link on the TreasuryDirect homepage; password recovery usually takes a few minutes. If you cannot recover your account, call TreasuryDirect at 844-284-2676 for help.
Mailing bonds to the Treasury
You can redeem a paper bond by mailing it to the Bureau of the Fiscal Service, along with a completed form and a copy of your ID. Use Form PD 1522 if you are the registered owner, or Form PD 1523 if you are a beneficiary or representative. Download these forms from the Treasury website or request them by phone at 844-284-2676.
Include a photocopy of your ID, the bond certificate, and a letter stating your name, address, Social Security number, and the amount you are requesting. Mail everything to the address listed on the form. The Treasury will verify the bond, process your request, and mail a check to you. This takes four to six weeks from the date they receive your package, sometimes longer during high-volume periods.
Use this method only if your bank refuses to help or if you cannot visit in person. It is slow and requires you to trust the mail with your bond certificate. If the package is lost in transit, you will need to file a claim with the Postal Service and then work with the Treasury to prove the bond was sent. Keep copies of everything you mail.
What you need to bring or provide
| Redemption Method | What You Need | Timeline |
|---|---|---|
| Bank (paper bond) | Physical bond, photo ID, account information | Same day or next business day |
| TreasuryDirect (electronic bond) | TreasuryDirect login, linked bank account | One to three business days |
| Mail to Treasury (paper bond) | Bond, completed form, photocopy of ID, letter with details | Four to six weeks |
Penalties and taxes when you redeem
Series I and Series EE bonds impose a penalty if you redeem them before five years have passed: you lose the last three months of interest. This means if you cash a bond at four years and eleven months, you receive the value as of four years and nine months. There is no penalty after five years, even if you redeem the next day.
You owe federal income tax on the interest your bond earned, whether you redeem it early or not. You do not owe state or local income tax on savings bond interest. The bank or Treasury does not withhold tax when you redeem; you report the earnings on your tax return. If you cashed bonds in a given year, you should receive a Form 1099-INT from the issuer showing the interest amount, though you may need to request it.
If you are redeeming a bond registered to a minor or a deceased person, tax rules may differ. Consult a tax professional or the IRS if you are unsure how to report the income.
What to do if your bond is lost or damaged
If your paper bond is lost, stolen, or too damaged to read, you can still redeem it. Contact the Bureau of the Fiscal Service at 844-284-2676 or visit their website to file a claim. You will need to provide the bond's serial number if you have it, your name, the approximate date of purchase, and the series and denomination. The Treasury will search their records and issue a replacement or process a redemption if the bond is found in their system.
If the bond is damaged but readable, most banks will still accept it. If the bank refuses, mail it to the Treasury with a letter explaining the damage. Do not attempt to repair a damaged bond yourself; this can make it unacceptable to financial institutions.
Frequently Asked Questions
Can someone else redeem my savings bond if I give them permission?
Yes, if you sign the bond and provide a notarized letter authorizing them to act on your behalf. Some banks accept a simple signed letter; others require notarization. Call your bank first to ask what they need. The person redeeming the bond must bring a photo ID and your authorization document.
What happens if I redeem a bond before it matures?
Series EE and I bonds can be redeemed anytime after one year, but you lose the last three months of interest if you redeem before five years. Other bond types have different rules. Check your bond documents or call the Treasury to confirm the specific terms of your bond.
Do I need to report the redemption to the IRS?
You report the interest earned on your tax return, not the redemption itself. If you cashed bonds in a given year, the issuer should send you a Form 1099-INT. Keep records of the purchase date and redemption date so you can calculate the correct interest amount if the form is missing or incorrect.
Can I redeem a bond if the registered owner has died?
Yes, but you will need to prove your authority. Bring a death certificate, proof of your relationship to the deceased, and documentation of your right to act on their behalf—such as a will, court order, or power of attorney. Requirements vary by bank and by bond type. Contact the bank or the Treasury before you visit to understand what documents they need.
How long does it take to get my money after I redeem?
Banks usually deposit the money same day or next business day. TreasuryDirect takes one to three business days. Mail redemptions take four to six weeks from the date the Treasury receives your package. If you need the money quickly, redeem at your bank or through TreasuryDirect.