The three main places to cash bonds

You can cash most bonds at your bank, through the U.S. Treasury Department if you own Treasury bonds, or through a brokerage firm if you bought bonds there. The method depends on what type of bond you own and where you bought it. Banks handle savings bonds and many corporate bonds. The Treasury has its own system for Treasury bills, notes, and bonds. Brokerages handle bonds they sold you or that you transferred to them.

The fastest route is usually your bank if you have an account there and the bond is a savings bond or one your bank originally sold you. If you own a Treasury bond directly, you will need to use TreasuryDirect, the government's online platform. If a brokerage holds your bond, you cannot take it elsewhere — you must redeem it through that firm.

Key Takeaways

  • Banks can cash savings bonds and many corporate bonds if you have an account with them, usually within one business day.
  • Treasury bonds, bills, and notes must be redeemed through TreasuryDirect online or by mail if you own them directly.
  • Bonds held at a brokerage can only be sold or redeemed through that brokerage, not transferred to a bank.
  • You will need the bond certificate or account number, proof of identity, and sometimes a signature may provide depending on the bond type and amount.

Cashing savings bonds at your bank

Most banks will cash Series EE and Series I savings bonds for account holders without charge. Bring the bond certificate itself, a valid photo ID, and your account number. The teller will verify the bond is legitimate, check that it has reached its issue date (you cannot cash it before then), and process the redemption. The funds typically appear in your account within one business day.

Some banks have limits on how many bonds they will cash in a single day or require advance notice for large amounts. Call your bank's customer service line before you go in to ask about their policy. If your bank will not cash the bond, ask whether they can refer you to another branch or institution that will. Credit unions often have similar policies and may cash savings bonds for members.

Redeeming Treasury bonds through TreasuryDirect

If you own a Treasury bond, bill, or note directly — meaning you bought it through TreasuryDirect and it is registered in your name — you must redeem it online through your TreasuryDirect account. Log in, navigate to the "Manage Securities" section, and select the bond you want to redeem. You will see the current value and the redemption date. Once you confirm, the Treasury transfers the funds to your linked bank account, usually within two business days.

If you own a paper Treasury bond issued before 2002, you cannot redeem it online. Instead, mail the bond certificate to the Bureau of the Fiscal Service at the address listed on the Treasury website, along with a form requesting redemption. Include a copy of your ID and your bank account details. Processing takes four to six weeks by mail. Some banks and brokerages will accept paper Treasury bonds for redemption on your behalf, though they may charge a fee.

Selling bonds through a brokerage

If you own bonds through a brokerage account — whether they are corporate bonds, municipal bonds, or Treasury bonds held there — you sell them through that brokerage's trading platform, not by cashing them at a bank. Log into your account, find the bond in your holdings, and place a sell order. The brokerage will sell the bond on the secondary bond market to another buyer. Settlement typically takes two business days, and the proceeds land in your brokerage cash account.

The price you receive depends on current market conditions, not the bond's face value. If interest rates have risen since you bought the bond, you may receive less than you paid. If rates have fallen, you may receive more. The brokerage may charge a transaction fee ranging from zero to several dollars per bond, depending on the firm and the bond type. Check your account settings or call the brokerage to confirm their fee structure before you sell.

What documents and information you will need

For a savings bond at a bank, bring the physical bond certificate and a government-issued photo ID. For a Treasury bond through TreasuryDirect, you need your login credentials and access to the email address registered to your account. For bonds held at a brokerage, you need your account login and the ability to place a trade order.

If you are redeeming a bond on behalf of someone else — as a power of attorney, executor, or guardian — you will need legal documentation proving your authority. Banks and the Treasury may require a signature may provide from a financial institution for large redemptions or transfers of ownership. Ask the institution handling the bond what proof they need before you arrive.

Timing and fees to expect

Cashing a savings bond at a bank is the fastest option, usually completing within one business day and costing nothing. Redeeming through TreasuryDirect online takes two business days and has no fee. Selling a bond through a brokerage takes two business days for settlement, but you may pay a transaction fee of a few dollars. Mailing a paper Treasury bond to the government takes four to six weeks and costs only postage.

Some banks charge a small fee to cash bonds if you do not have an account with them, typically five to ten dollars. Brokerages may charge per-bond fees or a flat transaction fee. The Treasury never charges a fee for redemption. If you need the money urgently, avoid the mail route and use a bank or brokerage instead.

What happens if you cannot find the bond certificate

If you own a savings bond but lost the certificate, contact the Treasury's Savings Bond Division. They can search their records by your Social Security number and the approximate issue date. If they locate it, they will issue a replacement certificate or allow you to redeem it through TreasuryDirect if you set up an account. This process takes several weeks.

If you own a bond through a brokerage or bank and lost the certificate, contact that institution directly. They maintain records of all bonds in your account and can process a redemption without the physical certificate. For paper Treasury bonds issued before 2002, the Treasury can issue a replacement if you provide proof of ownership and your ID.

Frequently Asked Questions

Can I cash a bond before its maturity date?

Savings bonds can be cashed anytime after the issue date, but you lose the last three months of interest if you cash before five years have passed. Treasury bonds, bills, and notes can be sold on the secondary market at any time through a brokerage, though the price may be higher or lower than face value depending on interest rates. Corporate and municipal bonds can also be sold early through a brokerage.

What if my bank says they will not cash my bond?

Not all banks cash bonds, especially if you do not have an account there. Ask the bank for a referral to another branch or institution that does. You can also contact the Treasury directly if it is a Treasury bond, or the brokerage if the bond is held there. Savings bond holders can mail the certificate to the Treasury's Savings Bond Division as a last resort.

Do I have to pay taxes when I cash a bond?

Yes, the interest earned on bonds is subject to federal income tax and, in most states, state income tax. You do not pay tax on the original principal you invested. The institution cashing the bond does not withhold taxes automatically — you report the interest income on your tax return. Keep records of the purchase price and redemption amount to calculate the taxable interest.

Can I transfer a bond from one place to another before cashing it?

Savings bonds registered in your name cannot be transferred to a bank or brokerage — you must redeem them where they are. Bonds held at a brokerage can sometimes be transferred to another brokerage, but the process takes time and may involve fees. Contact both institutions to ask whether they support transfers before you attempt one.

What if the bond is in someone else's name?

If the bond is registered only in another person's name, you cannot cash it without their permission and signature. If the person has died, you will need a death certificate and proof that you are the executor or beneficiary. Contact the institution holding the bond to learn what documents they require to process a redemption on behalf of a deceased owner.