The Three Places You Can Cash In Your Bonds

You can redeem U.S. savings bonds at your bank, through the Treasury Department's online system, or by mail to the Federal Reserve. Most people use their bank because it is the fastest and requires no paperwork beyond your bond and ID. The Treasury's online portal, TreasuryDirect, works only if you registered the bond there when you bought it. Mailing bonds to the Federal Reserve takes four to six weeks but works for any bond, regardless of where you bought it.

The method you choose depends on whether you have your bond in hand, whether it is registered in TreasuryDirect, and how quickly you need the money. A bond in physical form can go to any of the three places. A bond held only in TreasuryDirect can come out only through TreasuryDirect or by requesting a physical certificate first, which takes several business days.

Key Takeaways

  • Banks will redeem any savings bond you own if you bring the bond certificate and a government-issued ID, usually within one business day.
  • TreasuryDirect redemptions work only for bonds you bought and registered through that system, and the money lands in your linked bank account within two business days.
  • The Federal Reserve accepts bonds by mail from anyone, but processing takes four to six weeks and requires you to fill out a form and get it certified.
  • Series EE and Series I bonds redeemed before five years have passed will forfeit the last three months of interest, so check your purchase date before you cash in.
  • You cannot redeem a bond at the issuing bank if it was purchased elsewhere — any bank that holds your account will do it.

Redeeming at Your Bank

Bring your bond certificate and a government-issued photo ID (driver's license, passport, or state ID) to any bank where you hold an account. You do not have to use the bank that issued the bond. The teller will verify the bond's serial number, check that it has reached final maturity or that you are past the minimum holding period, and process the redemption on the spot or within one business day.

The bank deposits the money into your account at that institution. If you want the funds in a different account, you can transfer them after the deposit clears. Some banks charge a small fee for bond redemption — typically $5 to $15 — though many waive it for customers with certain account types. Call ahead if you want to confirm whether your bank charges.

This method works for any savings bond in physical form, regardless of where or when you bought it. It is the fastest way to get your money if you have the certificate in hand.

Redeeming Through TreasuryDirect Online

TreasuryDirect is the Treasury Department's online platform for buying and holding savings bonds. If you bought your bond through TreasuryDirect and it remains registered there, you can redeem it by logging into your account, selecting the bond, and requesting redemption. The money goes directly to the bank account you linked when you set up your TreasuryDirect account.

Redemption through TreasuryDirect takes two business days after you submit the request. You do not need to print anything or visit a bank. This is the simplest method if your bond is already in the system, but it only works for bonds you purchased through TreasuryDirect — not for older bonds you bought in paper form or through a bank.

If you own a physical bond and want to redeem it through TreasuryDirect, you must first request a certificate and register it in your account. This process takes several business days, so it is usually faster to take the physical bond to your bank instead.

Redeeming by Mail to the Federal Reserve

You can mail your bond certificate to the Federal Reserve Bank serving your region along with a form and a certified signature. The Federal Reserve accepts bonds from anyone, regardless of where the bond was purchased or whether it is registered in TreasuryDirect. This method takes four to six weeks from the time the Federal Reserve receives your package.

To redeem by mail, you need to complete Form PD 1048 (Statement Regarding Disposition of Savings Bonds) or Form PD 1048-2 (for bonds held in a fiduciary or corporate account). You can download both forms from the Treasury Department website. Your signature on the form must be certified by a bank, credit union, notary public, or other authorized certifier — a regular notarized signature is not enough for bonds over $20,000.

Mail the bond, the completed form, and proof of your certified signature to the Federal Reserve Bank in your district. The Treasury website has a list of regional Federal Reserve Banks with their mailing addresses. Send the package by registered mail or another method that provides tracking, because the Federal Reserve will not search for lost packages.

What Happens to Interest When You Redeem Early

Series EE bonds and Series I bonds penalize early redemption. If you redeem either type before you have held it for five years, you forfeit the last three months of interest. This means if you bought a Series I bond on March 15, 2023, and redeem it on March 14, 2028, you get the full interest. If you redeem it on March 14, 2025, you lose the interest earned from December 15, 2024, to March 14, 2025.

Series EE bonds purchased before May 2003 and Series I bonds purchased before May 2003 have different rules — check your bond's issue date and the Treasury website for the specific terms. Bonds held past their final maturity date earn no additional interest, so there is no penalty for cashing them in late, but you also gain nothing by waiting.

Before you redeem, calculate what you will actually receive. The bank teller or TreasuryDirect system will show you the current value, including any interest penalty, before you confirm the transaction.

Bonds Registered to Someone Else or a Trust

If a bond is registered to a deceased person, a minor, or a trust, the redemption process changes. A bond registered to a deceased owner requires a death certificate and proof that the person requesting redemption is the rightful heir or executor. A bond registered to a minor requires the minor's presence and ID, plus a parent or guardian's ID.

Bonds held in a trust require the trust document and proof of the trustee's authority. Some banks will not redeem trust-registered bonds in person and will direct you to redeem by mail to the Federal Reserve instead. Call your bank ahead of time if the bond is not in your name alone, because requirements vary by institution.

Frequently Asked Questions

Can I redeem a savings bond at any bank, or only the one that issued it?

Any bank will redeem your bond if you hold an account there. You do not need to use the bank that originally issued it. If you do not have a bank account, some banks will redeem bonds for non-customers, though they may charge a higher fee or require you to open an account.

What if I lost my savings bond certificate?

Contact the Treasury Department's Savings Bond Division at 1-800-553-2663 or through the TreasuryDirect website to report it lost. They can issue a replacement certificate if you provide the bond's serial number, issue date, and denomination. This process takes several weeks. If the bond was registered in TreasuryDirect, you can redeem it online without a physical certificate.

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

Yes. The interest earned on savings bonds is subject to federal income tax in the year you redeem the bond. You do not owe state or local income tax on the interest. Your bank or TreasuryDirect will not withhold taxes automatically, so you may owe when you file your return.

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

Bank redemption: one business day. TreasuryDirect: two business days. Federal Reserve by mail: four to six weeks. The timeline starts after the institution receives your request or package, not when you submit it.

What if my bond has reached final maturity?

Redeem it as soon as you can. Bonds stop earning interest at final maturity, which varies by series — Series EE bonds mature after 30 years, Series I bonds after 30 years. You will not lose money by holding it past maturity, but you will not earn anything either. The redemption process is the same.